1 00:11:09,910 --> 00:11:11,910 [SIDE CONVERSATION] 2 00:11:23,630 --> 00:11:24,950 Thanks for dinner. 3 00:11:24,950 --> 00:11:26,700 That's what I wrote. 4 00:11:26,700 --> 00:11:28,150 Well, just say, I'm fluent in Danish, 5 00:11:28,150 --> 00:11:29,690 and I'm going to be responding. 6 00:11:29,690 --> 00:11:31,690 [LAUGHTER] 7 00:11:32,550 --> 00:11:33,970 I don't know many Danes. 8 00:11:33,970 --> 00:11:34,510 [LAUGHS] 9 00:11:34,510 --> 00:11:36,350 You do now. 10 00:11:36,350 --> 00:11:37,310 Yeah. 11 00:11:37,310 --> 00:11:38,110 That's right. 12 00:11:38,110 --> 00:11:43,410 All the Mexicans call me vikingo, which means Viking. 13 00:11:43,410 --> 00:11:44,170 Viking, yeah. 14 00:11:44,170 --> 00:11:46,170 Yeah, I guess. 15 00:11:46,990 --> 00:11:50,590 I'll have to get up to speed on my Danish slang. 16 00:11:50,590 --> 00:11:52,590 Yeah. 17 00:11:52,830 --> 00:11:53,610 Your Danish slang. 18 00:11:53,610 --> 00:11:55,610 My Danish slang. 19 00:11:57,310 --> 00:11:59,820 So, everybody, the pizza is there 20 00:11:59,820 --> 00:12:01,700 if you'd like to grab a piece. 21 00:12:01,700 --> 00:12:03,170 Or why don't we get started, then one by one, 22 00:12:03,170 --> 00:12:03,990 we can go get it? 23 00:12:03,990 --> 00:12:08,790 It's just for a few minutes, I guess. 24 00:12:09,150 --> 00:12:10,770 Oh, I saw the pictures on this. 25 00:12:10,770 --> 00:12:12,550 Yeah. 26 00:12:12,550 --> 00:12:14,500 Is it that big a deal, though? 27 00:12:14,500 --> 00:12:16,500 Oops, I'm on-- 28 00:12:49,710 --> 00:12:53,310 We're going to start getting ready. 29 00:13:00,630 --> 00:13:02,630 Recording in progress. 30 00:13:03,550 --> 00:13:04,370 Good evening. 31 00:13:04,370 --> 00:13:08,500 Welcome to the regular session of the Martinez City Council. 32 00:13:08,500 --> 00:13:10,450 I'd like to officially call this meeting to order. 33 00:13:10,450 --> 00:13:14,830 It is Wednesday, August 5, and it is 5:35 PM. 34 00:13:14,830 --> 00:13:16,710 City Clerk, please call the roll. 35 00:13:16,710 --> 00:13:19,110 Council Member Jay Howard. 36 00:13:19,190 --> 00:13:19,750 Present. 37 00:13:19,750 --> 00:13:21,210 Council Member Greg Young. 38 00:13:21,210 --> 00:13:22,700 Present. 39 00:13:22,700 --> 00:13:24,110 Council Member Debbie McKillop. 40 00:13:24,110 --> 00:13:24,910 Present. 41 00:13:24,910 --> 00:13:26,530 Vice Mayor Satinder Malhi. 42 00:13:26,530 --> 00:13:27,270 Present. 43 00:13:27,270 --> 00:13:28,570 Mayor Brianne Zorn. 44 00:13:28,570 --> 00:13:30,570 Present. 45 00:13:30,630 --> 00:13:31,130 Great. 46 00:13:31,130 --> 00:13:32,470 Thank you so much. 47 00:13:32,470 --> 00:13:38,880 All right, we only have one item on the agenda this evening. 48 00:13:38,880 --> 00:13:41,480 If it's OK with everyone, I will hold public comment 49 00:13:41,480 --> 00:13:44,205 until after we have the presentation from staff, 50 00:13:44,205 --> 00:13:46,800 and then we'll give the public an opportunity 51 00:13:46,800 --> 00:13:48,480 to comment on the presentation that we received. 52 00:13:48,480 --> 00:13:51,120 So with that, we'll go right into our study session. 53 00:13:51,120 --> 00:13:53,640 Conduct a study session to discuss potential updates 54 00:13:53,640 --> 00:13:55,820 to the city's development impact fees 55 00:13:55,820 --> 00:13:57,300 and provide direction to staff. 56 00:13:57,300 --> 00:13:58,800 Mike, would you like to-- 57 00:13:58,800 --> 00:14:01,620 Michael, would you like to kick off this meeting for us, please? 58 00:14:01,620 --> 00:14:02,160 Great. 59 00:14:02,160 --> 00:14:04,480 Good evening, Mayor and members of the city council. 60 00:14:04,480 --> 00:14:06,720 As you indicated, Mayor, before you this evening 61 00:14:06,720 --> 00:14:10,280 is a study session on potential updates to our development 62 00:14:10,280 --> 00:14:11,562 impact fees. 63 00:14:11,562 --> 00:14:13,520 I would like to make sure that it's pointed out 64 00:14:13,520 --> 00:14:16,480 that this has been an interdepartmental effort that 65 00:14:16,480 --> 00:14:19,380 includes representatives from the City Manager's Office, 66 00:14:19,380 --> 00:14:21,640 Community and Economic Development Department, 67 00:14:21,640 --> 00:14:24,640 Public Works Department, Finance Department, 68 00:14:25,720 --> 00:14:29,160 as well as our esteemed consultant team. 69 00:14:29,160 --> 00:14:33,400 I would like to turn over the presentation this evening 70 00:14:33,400 --> 00:14:36,280 to Megan Gregory, who's with Economic and Planning 71 00:14:36,280 --> 00:14:40,760 Systems, who's been our support on bringing this item before you 72 00:14:40,760 --> 00:14:41,500 this evening. 73 00:14:41,500 --> 00:14:43,880 So thank you very much. 74 00:14:43,880 --> 00:14:45,840 Good afternoon. 75 00:14:45,840 --> 00:14:47,760 As Mike mentioned, my name is Megan Gregory 76 00:14:47,760 --> 00:14:49,620 from economic and planning systems. 77 00:14:49,620 --> 00:14:53,000 I'm also joined this evening by my colleague, Typhian Rice 78 00:14:53,000 --> 00:14:54,520 Evans. 79 00:14:54,520 --> 00:14:58,800 And we have conducted a development impact fee 80 00:14:58,800 --> 00:15:01,200 update and technical analysis. 81 00:15:01,520 --> 00:15:03,360 Let me-- there we go. 82 00:15:03,360 --> 00:15:07,400 A brief overview for our presentation this evening, 83 00:15:07,400 --> 00:15:11,520 we will provide some context for the nexus study, 84 00:15:11,520 --> 00:15:15,160 describe the approach we used when calculating and completing 85 00:15:15,160 --> 00:15:16,620 the technical analysis. 86 00:15:16,620 --> 00:15:19,440 We'll go over the results of that analysis 87 00:15:19,440 --> 00:15:21,760 and then present those results in the context 88 00:15:21,760 --> 00:15:26,640 of some nearby jurisdictions so you have a point of comparison 89 00:15:26,640 --> 00:15:29,240 for where these proposed fee levels might 90 00:15:29,240 --> 00:15:32,240 fall with your neighboring jurisdictions. 91 00:15:32,700 --> 00:15:35,380 And then we'll discuss next steps, questions, 92 00:15:35,380 --> 00:15:37,780 and potential policy directions. 93 00:15:39,200 --> 00:15:42,000 A nexus study update allows the city 94 00:15:42,000 --> 00:15:46,280 to refresh the list of capital improvements, the projects that 95 00:15:46,280 --> 00:15:48,960 are covered by these fees. 96 00:15:48,960 --> 00:15:51,320 You can also update the project costs 97 00:15:51,320 --> 00:15:55,520 based on new information, revised project descriptions, 98 00:15:55,620 --> 00:16:01,620 as well as conforming to recent legislation, such as AB 602. 99 00:16:02,800 --> 00:16:06,240 Additionally, we can reflect updated growth forecasts 100 00:16:06,240 --> 00:16:08,825 from recent plans, such as-- 101 00:16:08,825 --> 00:16:10,200 I believe the housing element was 102 00:16:10,200 --> 00:16:15,600 one of the primary sources used in this analysis. 103 00:16:16,480 --> 00:16:20,160 An intro to development impact fee fundamentals. 104 00:16:20,160 --> 00:16:24,200 Development impact fee is a one-time fee on new development. 105 00:16:24,200 --> 00:16:27,640 It can fund infrastructure and capital facilities, 106 00:16:27,640 --> 00:16:31,840 capital improvements as well, and only funds 107 00:16:31,960 --> 00:16:34,320 the proportional share of capital improvements 108 00:16:34,320 --> 00:16:37,640 required to serve and accommodate new development. 109 00:16:37,640 --> 00:16:41,680 It cannot fund existing deficiencies or operations 110 00:16:41,680 --> 00:16:45,520 and maintenance that are ongoing within the city. 111 00:16:45,520 --> 00:16:49,840 We established these fees based on a nexus study and a capital 112 00:16:49,840 --> 00:16:51,320 improvement program. 113 00:16:51,320 --> 00:16:54,760 This identifies the link between new development 114 00:16:54,760 --> 00:16:58,960 and these capital improvement needs, the proportionality 115 00:16:58,960 --> 00:17:03,240 of the costs that are allocated to go into the fee program, 116 00:17:03,240 --> 00:17:08,280 as well as what we plan on using the fee revenues for. 117 00:17:08,280 --> 00:17:14,400 Here is a list of the existing fee categories that the city has 118 00:17:14,400 --> 00:17:16,819 and is charging for development impact fees, 119 00:17:16,819 --> 00:17:21,119 as well as the proposed fee categories in the update. 120 00:17:21,119 --> 00:17:25,480 These are largely similar, with some minor changes, 121 00:17:25,480 --> 00:17:29,100 like expanding cultural facilities to include 122 00:17:29,100 --> 00:17:32,810 public art, and some larger changes, which 123 00:17:32,810 --> 00:17:38,810 include removing the child care fee because the city has 124 00:17:39,250 --> 00:17:43,210 no plans to add additional child care facilities, 125 00:17:43,210 --> 00:17:46,690 as well as adding a marina waterfront infrastructure fee 126 00:17:46,690 --> 00:17:51,500 category as part of implementation of the Trust Land 127 00:17:51,500 --> 00:17:53,500 Use Plan. 128 00:17:55,570 --> 00:18:02,150 Here is a list of the costs that were sourced from adopted plans, 129 00:18:02,150 --> 00:18:05,610 such as the five-year CIP and that Trust Land Use 130 00:18:05,610 --> 00:18:09,810 Plan that we are allocating to growth 131 00:18:10,100 --> 00:18:12,930 and including in the fee program for each of the improvement 132 00:18:12,930 --> 00:18:14,930 categories. 133 00:18:15,490 --> 00:18:17,530 And using these costs, we can then 134 00:18:17,530 --> 00:18:21,130 allocate it to both residential and commercial development, 135 00:18:21,130 --> 00:18:23,530 resulting in these levels. 136 00:18:26,890 --> 00:18:31,190 These fee levels can be adopted at a lower level. 137 00:18:31,190 --> 00:18:35,900 However, we're presenting the full cost recovery level here, 138 00:18:35,900 --> 00:18:38,850 which includes all of the costs that are allocated 139 00:18:38,850 --> 00:18:41,530 to growth in the fee program. 140 00:18:41,530 --> 00:18:44,670 Fees cannot be adopted at higher than these levels, 141 00:18:44,670 --> 00:18:47,670 excluding annual adjustments for inflation. 142 00:18:50,890 --> 00:18:53,890 AB 602, which I mentioned earlier, 143 00:18:53,950 --> 00:18:57,550 requires that jurisdictions charge residential development 144 00:18:57,890 --> 00:19:00,570 impact fees on a per-square-foot basis 145 00:19:00,570 --> 00:19:02,330 to account for the relative impacts 146 00:19:02,330 --> 00:19:05,250 that different-sized units may have. 147 00:19:05,250 --> 00:19:07,970 Therefore, we do convert both single-family 148 00:19:07,970 --> 00:19:11,970 and multifamily residential fees from a per-unit fee 149 00:19:11,970 --> 00:19:15,170 to a fee per square foot. 150 00:19:15,170 --> 00:19:19,370 This conversion is using recent development examples 151 00:19:20,570 --> 00:19:25,970 from the city to get an average unit size. 152 00:19:28,610 --> 00:19:31,590 In addition to calculating the fee levels, 153 00:19:31,590 --> 00:19:35,130 we also collected information on development impact fees 154 00:19:35,130 --> 00:19:37,790 in the three nearby jurisdictions, Hercules, 155 00:19:37,790 --> 00:19:39,790 Benicia, and Concord. 156 00:19:40,130 --> 00:19:43,610 The fee comparison considers development impact fees, 157 00:19:43,610 --> 00:19:46,970 such as parks, art, capital facilities. 158 00:19:46,970 --> 00:19:51,730 It doesn't include permitting fees or utility connection fees, 159 00:19:51,730 --> 00:19:53,850 as those tend to vary a little bit more 160 00:19:53,850 --> 00:19:58,690 and aren't covered as part of the larger Mitigation Fee 161 00:19:58,690 --> 00:20:03,490 Act that development impact fees are covered by. 162 00:20:04,610 --> 00:20:08,300 EPS Quantified fees for typical single-family homes, 163 00:20:08,300 --> 00:20:10,430 multifamily, and office projects. 164 00:20:10,770 --> 00:20:17,450 Due to the variety of fee types, we summarized some fees into-- 165 00:20:17,450 --> 00:20:20,170 cultural facilities, public art, and public facilities 166 00:20:20,170 --> 00:20:23,560 were summed up into a civic facilities category. 167 00:20:23,560 --> 00:20:26,460 And then police and fire fees were summed up 168 00:20:26,460 --> 00:20:29,460 into a public safety category. 169 00:20:30,900 --> 00:20:35,460 So here, we are showing the single-family fee comparison 170 00:20:35,460 --> 00:20:36,920 on a per-unit basis. 171 00:20:36,920 --> 00:20:41,740 We include the existing fee levels that Martinez currently 172 00:20:41,740 --> 00:20:46,780 has, as well as the calculated full cost recovery 173 00:20:46,780 --> 00:20:50,140 fees in comparison to these other jurisdictions. 174 00:20:50,140 --> 00:20:52,440 And are the other jurisdictions-- 175 00:20:52,440 --> 00:20:57,240 are those numbers based on full cost recovery? 176 00:21:00,620 --> 00:21:04,980 I don't know exactly where policy decisions might have 177 00:21:04,980 --> 00:21:06,740 been made in the fee levels. 178 00:21:06,740 --> 00:21:09,200 They're publicly charged fees. 179 00:21:09,200 --> 00:21:10,750 OK, thank you. 180 00:21:10,750 --> 00:21:13,780 But just to clarify, the numbers on the far right 181 00:21:13,780 --> 00:21:16,620 under Benicia, Hercules, and Concord, 182 00:21:16,620 --> 00:21:19,520 is that existing or full cost? 183 00:21:19,520 --> 00:21:21,000 That's what I just said, I think. 184 00:21:21,000 --> 00:21:25,900 Yeah, their existing fees is what a project would be charged. 185 00:21:25,900 --> 00:21:29,820 I think we can safely make the assumption that they're not 186 00:21:29,820 --> 00:21:32,460 full costs because likely they're not-- 187 00:21:32,460 --> 00:21:35,300 haven't been updated for some period of time 188 00:21:35,300 --> 00:21:37,660 for each of the jurisdictions. 189 00:21:37,660 --> 00:21:40,180 And just to clarify, the staff report 190 00:21:40,180 --> 00:21:42,740 does say that the point is that the nexus 191 00:21:42,740 --> 00:21:46,800 study is supposed to tell us what the maximum would be. 192 00:21:46,800 --> 00:21:48,680 And then we have the authority to make that choice. 193 00:21:48,680 --> 00:21:50,980 So we can assume that the other councils probably also 194 00:21:50,980 --> 00:21:53,980 didn't do full cost recovery. 195 00:21:54,380 --> 00:21:57,900 Since we're pausing, I do have one question, though. 196 00:21:57,900 --> 00:22:01,960 I guess Concord is the best example. 197 00:22:01,960 --> 00:22:04,300 It only has two fees here. 198 00:22:04,300 --> 00:22:06,720 Are there other fees that don't align with ours, 199 00:22:06,720 --> 00:22:09,780 or do they only have the two fees? 200 00:22:09,780 --> 00:22:12,780 These are the only two development impact fees 201 00:22:12,780 --> 00:22:15,260 that we identified Concord as having. 202 00:22:15,260 --> 00:22:20,100 They may charge permitting fees or other fees that 203 00:22:20,100 --> 00:22:22,580 aren't considered development impact fees that 204 00:22:22,580 --> 00:22:24,420 aren't included in this comparison for any 205 00:22:24,420 --> 00:22:26,420 of the jurisdictions. 206 00:22:29,180 --> 00:22:33,980 So Martinez currently is falling in the range 207 00:22:34,660 --> 00:22:36,660 for single-family fees. 208 00:22:36,840 --> 00:22:39,000 And I can actually move to the next slide. 209 00:22:39,000 --> 00:22:42,600 This provides a good graphic representation 210 00:22:42,660 --> 00:22:46,160 of the comparison of where Martinez is currently falling 211 00:22:46,160 --> 00:22:49,660 and where it would fall if the full cost recovery 212 00:22:49,660 --> 00:22:51,660 fees were adopted. 213 00:22:53,740 --> 00:22:55,740 Let me see. 214 00:22:56,200 --> 00:23:01,900 And here is a similar table for the multifamily fee comparison, 215 00:23:01,900 --> 00:23:04,900 which generally multifamily fees are 216 00:23:05,380 --> 00:23:08,580 less on a per-unit basis than single family 217 00:23:08,580 --> 00:23:11,420 but have a similar distribution to single family 218 00:23:11,420 --> 00:23:14,380 in terms of the fee categories. 219 00:23:14,380 --> 00:23:17,260 So once again, here is a similar place 220 00:23:17,260 --> 00:23:19,660 where Martinez falls currently and where 221 00:23:19,660 --> 00:23:25,600 they would fall within the range of the jurisdictions. 222 00:23:26,180 --> 00:23:29,980 Finally, for office fees, we see Martinez 223 00:23:29,980 --> 00:23:32,980 falling in a similar place. 224 00:23:33,300 --> 00:23:37,180 What's most different, possibly, for office fees is 225 00:23:37,180 --> 00:23:40,780 that Benicia and Concord only charge a transportation impact 226 00:23:40,780 --> 00:23:45,780 fee on their office development, whereas Martinez and Hercules 227 00:23:45,780 --> 00:23:49,380 charge additional impact fees on office. 228 00:23:49,700 --> 00:23:54,600 The fee levels are relatively similar, if not less, 229 00:23:54,600 --> 00:23:57,740 in Martinez and Benicia compared to Hercules and Concord. 230 00:23:57,740 --> 00:24:02,300 It's just how those facility improvements are allocated 231 00:24:02,300 --> 00:24:05,300 within that overall fee amount. 232 00:24:09,660 --> 00:24:14,140 Then to wrap things up, we have some questions for council 233 00:24:14,140 --> 00:24:19,540 that the city staff and ourselves have put together, 234 00:24:20,670 --> 00:24:24,110 looking at how the city should potentially benchmark 235 00:24:24,110 --> 00:24:27,870 those impact fees, how changes and updates to those fees 236 00:24:27,870 --> 00:24:31,510 might be phased, as well as support 237 00:24:31,510 --> 00:24:37,510 on some of the changes proposed within this fee update. 238 00:24:44,877 --> 00:24:46,710 Megan, please proceed with the presentation, 239 00:24:46,710 --> 00:24:49,430 and we'll circle back to this. 240 00:24:49,430 --> 00:24:52,330 Yeah, so that wraps up our presentation. 241 00:24:52,330 --> 00:24:57,730 And so we'll go to the city for questions. 242 00:25:05,830 --> 00:25:07,130 Is this questions now? 243 00:25:07,130 --> 00:25:08,630 OK. 244 00:25:08,630 --> 00:25:13,430 Can you go back to the Questions page? 245 00:25:15,790 --> 00:25:18,530 Would you mind speaking to the last three bullets? 246 00:25:18,530 --> 00:25:20,560 I don't feel like those last three 247 00:25:20,560 --> 00:25:22,810 bullets were talked about in your presentation at all. 248 00:25:22,810 --> 00:25:25,910 Can you clarify them, why you're asking us about it 249 00:25:25,910 --> 00:25:28,910 and what your recommendation is? 250 00:25:30,870 --> 00:25:32,430 Or is that a staff question? 251 00:25:32,430 --> 00:25:32,930 It could be. 252 00:25:32,930 --> 00:25:36,910 It might be a staff question in terms of those-- 253 00:25:36,910 --> 00:25:40,490 So I can speak a little bit to the last few fees. 254 00:25:40,490 --> 00:25:44,895 So if you don't mind, I can just quickly 255 00:25:44,895 --> 00:25:46,270 go through each of the questions. 256 00:25:46,270 --> 00:25:47,630 That might actually be easier. 257 00:25:47,630 --> 00:25:48,330 Yeah, that's even better. 258 00:25:48,330 --> 00:25:48,950 Thank you. 259 00:25:48,950 --> 00:25:53,350 So the first question is, what should the city 260 00:25:53,350 --> 00:25:56,150 use as a benchmark for our impact fees? 261 00:25:56,150 --> 00:25:58,670 Should we be in the top, middle, or lower end 262 00:25:58,670 --> 00:26:01,310 compared to our peer jurisdictions? 263 00:26:01,310 --> 00:26:04,550 For context related to that question, so as you know, 264 00:26:04,550 --> 00:26:08,510 there's only so much housing that is reasonably going 265 00:26:08,510 --> 00:26:11,110 to get built by market demand. 266 00:26:11,110 --> 00:26:16,510 And typically, when individuals are developing homes or office 267 00:26:18,950 --> 00:26:23,150 construction, they're oftentimes looking from a profitability 268 00:26:26,390 --> 00:26:27,590 standpoint. 269 00:26:27,590 --> 00:26:33,630 And so usually, developers will look in a given region and what 270 00:26:33,630 --> 00:26:36,190 profit they stand to make in Martinez 271 00:26:36,190 --> 00:26:39,630 compared to some of our surrounding jurisdictions. 272 00:26:39,630 --> 00:26:42,630 So from a incentivization standpoint, 273 00:26:43,610 --> 00:26:48,470 the city could choose to say we're lower than X or Y 274 00:26:48,470 --> 00:26:50,710 jurisdiction, so we have the ability 275 00:26:50,710 --> 00:26:54,700 to market that we're incentivizing development 276 00:26:54,700 --> 00:26:57,700 above and beyond our neighbors. 277 00:26:57,190 --> 00:26:59,990 For the next question, this will largely 278 00:26:59,990 --> 00:27:03,590 depend upon the first question, but it's, 279 00:27:03,590 --> 00:27:06,910 how should development impact fee updates be phased? 280 00:27:06,910 --> 00:27:09,790 Should they be 75% the first year 281 00:27:09,790 --> 00:27:13,190 and 25% the subsequent year, like what 282 00:27:13,190 --> 00:27:17,350 we've done with our other user fee schedule updates? 283 00:27:17,350 --> 00:27:20,110 Or should that happen all at once? 284 00:27:20,110 --> 00:27:22,950 This is really going to be dependent upon the direction 285 00:27:22,950 --> 00:27:25,910 we're provided as the first item. 286 00:27:25,910 --> 00:27:27,990 If we keep our fees similar to where they're 287 00:27:27,990 --> 00:27:31,870 at or lower our fees, that would not be an applicable question. 288 00:27:31,870 --> 00:27:34,570 If we do increase our fees or certain fees, 289 00:27:34,570 --> 00:27:36,630 we have the ability that we could increase that 290 00:27:36,630 --> 00:27:40,750 all at once or at a later time. 291 00:27:40,750 --> 00:27:44,350 For the third bullet on whether or not 292 00:27:44,350 --> 00:27:48,230 the city council supports eliminating childcare fees, 293 00:27:48,230 --> 00:27:50,570 Megan alluded to this as part of the presentation. 294 00:27:50,570 --> 00:27:55,430 The city has no plans in place for adding childcare facilities 295 00:27:55,430 --> 00:27:58,670 that the city would be managing or maintaining. 296 00:27:58,670 --> 00:28:02,550 So the question is, do we want to eliminate that fee, 297 00:28:02,550 --> 00:28:05,270 at least for the time being, until such time we 298 00:28:05,270 --> 00:28:09,480 would have plans to potentially use that in the future? 299 00:28:09,480 --> 00:28:14,760 For the fourth bullet, it's a question on whether or not 300 00:28:14,760 --> 00:28:16,760 the city council supports expanding 301 00:28:16,760 --> 00:28:20,480 the cultural facilities fee to include public art. 302 00:28:20,480 --> 00:28:22,620 And for a little bit of context for that, 303 00:28:22,620 --> 00:28:25,320 I worked with the interim finance director, 304 00:28:25,320 --> 00:28:28,400 and we pulled information on what our current fee 305 00:28:28,400 --> 00:28:29,840 balances are. 306 00:28:29,840 --> 00:28:33,180 And for our cultural facilities fee, 307 00:28:33,180 --> 00:28:36,780 we have about $750,000 that are available. 308 00:28:37,120 --> 00:28:40,720 And so this would provide an opportunity 309 00:28:40,720 --> 00:28:42,600 where there's a little bit more flexibility 310 00:28:42,600 --> 00:28:47,600 with other types of projects for how those funds could be used. 311 00:28:47,600 --> 00:28:50,800 And then the final bullet point, which is probably 312 00:28:50,800 --> 00:28:52,240 one of the more meaty discussion points 313 00:28:52,240 --> 00:28:56,240 where we're seeking direction from the city council, 314 00:28:56,240 --> 00:29:01,600 is if the city council supports reducing or waiving development 315 00:29:01,600 --> 00:29:05,800 impact fees for ADUs over 750 square feet 316 00:29:07,360 --> 00:29:11,400 for deed-restricted affordable units or other categories? 317 00:29:11,400 --> 00:29:14,400 And to what extent do you support reducing or waiving 318 00:29:14,400 --> 00:29:15,320 fees? 319 00:29:15,320 --> 00:29:18,680 This is really where staff and the consultant team 320 00:29:18,680 --> 00:29:22,400 are seeking direction for what types of projects 321 00:29:22,400 --> 00:29:26,840 you want to specifically target to have built in Martinez. 322 00:29:26,840 --> 00:29:30,760 For a little bit of additional context for that, 323 00:29:30,760 --> 00:29:34,360 as part of state legislation, ADUs 324 00:29:34,440 --> 00:29:36,720 that are less than 750 square feet 325 00:29:36,720 --> 00:29:39,480 already do not pay development impact fees. 326 00:29:39,480 --> 00:29:41,400 So this would be, do you want to extend 327 00:29:41,400 --> 00:29:44,240 that for slightly larger ADUs? 328 00:29:44,240 --> 00:29:46,560 Additionally, the conversation about, 329 00:29:46,560 --> 00:29:49,360 do we want to do something to incentivize 330 00:29:49,360 --> 00:29:51,360 deed-restricted affordable units? 331 00:29:51,800 --> 00:29:54,920 As the council is inevitably aware, 332 00:29:54,920 --> 00:29:57,800 affordable units oftentimes are associated 333 00:29:57,800 --> 00:30:01,960 with a mixed-income project, where the market rate 334 00:30:01,960 --> 00:30:04,360 project-- excuse me, the market rate units 335 00:30:04,360 --> 00:30:07,360 are subsidizing the affordable units. 336 00:30:07,660 --> 00:30:09,800 And this could be a way to reduce 337 00:30:09,800 --> 00:30:11,400 what that subsidization potentially is, 338 00:30:11,400 --> 00:30:14,320 as well as a way to potentially help 339 00:30:14,320 --> 00:30:17,640 the city reach our regional housing needs allocation. 340 00:30:17,640 --> 00:30:22,400 Or alternatively, if there's other categories, it may be, 341 00:30:22,400 --> 00:30:25,400 again, at the council's discretion. 342 00:30:26,240 --> 00:30:28,680 And then finally, giving us a little bit of direction 343 00:30:28,680 --> 00:30:32,360 on to what extent we want to reduce or waive fees 344 00:30:32,360 --> 00:30:34,480 so that we can prepare information 345 00:30:34,480 --> 00:30:38,920 to incorporate that as part of the user fee schedule update. 346 00:30:38,920 --> 00:30:41,460 The last thing I'd like to add, and it's not a bullet point, 347 00:30:41,460 --> 00:30:44,800 if there's any additional comments or direction that 348 00:30:44,800 --> 00:30:46,100 relate to these general questions, 349 00:30:46,100 --> 00:30:49,400 this would be a good time, at the end of the discussion, 350 00:30:49,400 --> 00:30:51,920 for the council to provide direction to staff 351 00:30:51,920 --> 00:30:54,280 and the consultants as well. 352 00:30:54,280 --> 00:30:57,640 And Megan and I are available for any additional questions 353 00:30:57,640 --> 00:31:00,400 that you may have. 354 00:31:00,360 --> 00:31:04,680 Thank you for walking through each one of those questions. 355 00:31:04,680 --> 00:31:06,940 I wanted to ask a quick question, 356 00:31:06,940 --> 00:31:09,160 and then I'm going to let the other council ask 357 00:31:09,160 --> 00:31:11,960 their questions, and then we'll circle back. 358 00:31:11,960 --> 00:31:15,103 So the cultural facilities fee, I 359 00:31:15,103 --> 00:31:17,520 know this has been something that's come up in my meetings 360 00:31:17,520 --> 00:31:20,360 with the city manager before. 361 00:31:20,360 --> 00:31:23,240 There is a specific list of things 362 00:31:23,240 --> 00:31:26,800 that qualify for the cultural facilities fee. 363 00:31:26,800 --> 00:31:29,580 Has that in the past been defined by the city of Martinez, 364 00:31:29,580 --> 00:31:30,900 or is it defined by the state? 365 00:31:30,900 --> 00:31:33,600 How much flexibility do we actually have with that? 366 00:31:33,600 --> 00:31:36,520 It was included as part of the previous nexus 367 00:31:36,520 --> 00:31:41,400 study for what types of projects could be included. 368 00:31:41,400 --> 00:31:44,960 I think it's important to note the intention of what's 369 00:31:44,960 --> 00:31:48,700 going to transpire is after we get direction tonight, 370 00:31:48,700 --> 00:31:52,858 we'll come back at a future meeting with a public hearing. 371 00:31:52,858 --> 00:31:54,400 As part of that public hearing, there 372 00:31:54,400 --> 00:31:57,760 will be adoption of the nexus study, 373 00:31:57,760 --> 00:32:01,570 there will be approval of what the development impact 374 00:32:01,570 --> 00:32:04,770 fees will be, and there will be some code amendments. 375 00:32:04,770 --> 00:32:06,210 And so there will be some ability 376 00:32:06,210 --> 00:32:08,490 to provide clarification for what types 377 00:32:08,490 --> 00:32:10,930 of projects, both in the nexus study as well 378 00:32:10,930 --> 00:32:12,700 as part of the code. 379 00:32:12,700 --> 00:32:14,515 And if I could jump in as well on that point, 380 00:32:14,515 --> 00:32:16,890 there will be a distinction drawn between the monies that 381 00:32:16,890 --> 00:32:19,690 were collected under the prior nexus study and monies 382 00:32:19,690 --> 00:32:21,850 to be collected after if and when 383 00:32:21,850 --> 00:32:23,970 the council adopts a new nexus study. 384 00:32:23,970 --> 00:32:25,850 If we expand it to have a broader 385 00:32:25,850 --> 00:32:28,450 focus on public art and cultural facilities, 386 00:32:28,450 --> 00:32:30,900 that broader expansion to public art 387 00:32:30,900 --> 00:32:33,370 would apply to new monies collected under the new nexus 388 00:32:33,370 --> 00:32:33,870 study. 389 00:32:33,870 --> 00:32:35,370 The existing funds collected would 390 00:32:35,370 --> 00:32:37,210 be bound by the prior nexus study 391 00:32:37,210 --> 00:32:40,530 within the bounds of what was previously in that prior nexus 392 00:32:40,530 --> 00:32:41,250 study. 393 00:32:41,250 --> 00:32:43,900 And can you please remind me what's 394 00:32:43,900 --> 00:32:46,750 included in cultural facilities, our library, senior center? 395 00:32:46,750 --> 00:32:48,490 Library, senior center. 396 00:32:48,490 --> 00:32:49,730 And the train depot. 397 00:32:49,730 --> 00:32:50,630 And the train depot. 398 00:32:50,630 --> 00:32:52,700 So just those three facilities? 399 00:32:52,700 --> 00:32:53,890 OK. 400 00:32:53,890 --> 00:32:58,730 Yeah, and even in the CIP that you recently adopted, 401 00:32:58,730 --> 00:33:02,690 monies have been spent on the old train depot recently. 402 00:33:02,690 --> 00:33:06,490 And funds were put into the senior center. 403 00:33:06,490 --> 00:33:09,230 And we could always revisit that with additional funding. 404 00:33:09,230 --> 00:33:09,990 But we did put-- 405 00:33:09,990 --> 00:33:13,730 I think it's $250,000 was moved into the senior center 406 00:33:13,730 --> 00:33:16,930 to replace what had been general fund money before. 407 00:33:16,930 --> 00:33:19,570 And we had talked about using cultural facilities 408 00:33:19,570 --> 00:33:21,550 money for a potential stage. 409 00:33:21,550 --> 00:33:25,170 So we're not 100%, or am I talking about the wrong thing? 410 00:33:25,170 --> 00:33:27,350 No, there was for waterfront stage. 411 00:33:27,350 --> 00:33:31,410 And so there's some context within the past nexus study that 412 00:33:31,410 --> 00:33:33,410 would have allowed for that, but obviously, 413 00:33:33,410 --> 00:33:35,970 because of the waterfront plan development, 414 00:33:35,970 --> 00:33:38,158 we are able to free up that money for other uses. 415 00:33:38,158 --> 00:33:40,450 And it's been the old train depot and the senior center 416 00:33:40,450 --> 00:33:41,700 so far. 417 00:33:41,700 --> 00:33:41,750 OK, thank you. 418 00:33:41,750 --> 00:33:43,970 I just want to make sure that we provide you the guidance that 419 00:33:43,970 --> 00:33:45,390 gets us to where we want to go. 420 00:33:45,390 --> 00:33:47,242 And I'm excited about the potential for-- 421 00:33:47,242 --> 00:33:48,950 I think it's because of the amphitheater. 422 00:33:48,950 --> 00:33:49,650 That's why. 423 00:33:49,650 --> 00:33:51,500 Amphitheater was listed as-- 424 00:33:51,500 --> 00:33:52,570 Oh, it was one of the facilities. 425 00:33:52,570 --> 00:33:54,112 --or whatever in the old nexus study. 426 00:33:54,112 --> 00:33:56,110 So that's why the stage would have qualified. 427 00:33:56,110 --> 00:33:56,610 Great. 428 00:33:56,610 --> 00:33:57,790 And, Debbie, did you have questions? 429 00:33:57,790 --> 00:33:58,623 You can kick us off. 430 00:33:58,623 --> 00:34:01,450 In the current attachment under cultural facilities 431 00:34:01,450 --> 00:34:04,410 and public art, is that the proposed? 432 00:34:04,410 --> 00:34:07,410 Because there's nine different projects 433 00:34:08,889 --> 00:34:13,890 listed under cultural facilities and public art. 434 00:34:14,770 --> 00:34:15,550 Will you clarify? 435 00:34:15,550 --> 00:34:16,630 I'm sorry. 436 00:34:16,630 --> 00:34:17,630 What are you looking at? 437 00:34:17,630 --> 00:34:19,969 The attachment that actually states what 438 00:34:19,969 --> 00:34:21,750 these monies can be used for. 439 00:34:21,750 --> 00:34:23,750 Attachment B? 440 00:34:24,170 --> 00:34:24,730 Yeah. 441 00:34:24,730 --> 00:34:25,389 So yes. 442 00:34:25,389 --> 00:34:28,909 So as Megan indicated, as part of the presentation, 443 00:34:28,909 --> 00:34:33,730 we took existing plans that were in place and capital 444 00:34:33,730 --> 00:34:37,900 improvements that are envisioned as part of those existing 445 00:34:37,900 --> 00:34:40,210 adopted plans and, from that, compiled 446 00:34:40,210 --> 00:34:42,770 the list that's included in the attachment, which 447 00:34:42,770 --> 00:34:45,370 will be used as part of the nexus study 448 00:34:45,370 --> 00:34:51,290 for the calculation of what the maximum fees could be. 449 00:34:51,290 --> 00:34:53,690 Thank you for calling that out because there are 450 00:34:53,690 --> 00:34:55,159 additional ones that called in. 451 00:34:55,159 --> 00:34:57,900 So this would be part of the nexus study. 452 00:34:57,900 --> 00:35:00,920 So it would give us even more projects to work on. 453 00:35:00,920 --> 00:35:02,920 OK, thank you. 454 00:35:04,523 --> 00:35:06,940 Oh, but that is a good point now that I'm looking at this. 455 00:35:06,940 --> 00:35:09,980 So there isn't a line item under cultural facilities 456 00:35:09,980 --> 00:35:13,740 and public art for just general public art, though. 457 00:35:13,740 --> 00:35:15,460 Do we need to add that if we-- 458 00:35:15,460 --> 00:35:19,340 So what we would ask is if you give the direction to expand 459 00:35:19,340 --> 00:35:22,600 the scope of that fee, staff and the consultant 460 00:35:22,600 --> 00:35:24,820 will work to make sure the nexus study is designed 461 00:35:24,820 --> 00:35:27,820 to allow that to occur. 462 00:35:34,700 --> 00:35:37,260 Sorry, I didn't have my microphone on. 463 00:35:37,260 --> 00:35:41,180 Just in general about the fees, so you 464 00:35:41,180 --> 00:35:44,180 had asked about-- hang on. 465 00:35:44,680 --> 00:35:45,780 Let me go back. 466 00:35:45,780 --> 00:35:49,300 So we're just taking the first question, the first question 467 00:35:49,300 --> 00:35:51,300 about benchmarking. 468 00:35:53,440 --> 00:35:56,960 Let me go back to that because I just took that off my screen. 469 00:35:56,960 --> 00:35:58,260 Hold on. 470 00:35:58,260 --> 00:36:01,220 Looking at the benchmarks that you've provided, 471 00:36:01,220 --> 00:36:06,200 they seem very, very different and very broad. 472 00:36:06,120 --> 00:36:07,740 So, for instance, I wouldn't want 473 00:36:07,740 --> 00:36:10,780 to adopt one particular city, like Benicia or Hercules 474 00:36:10,780 --> 00:36:15,580 or Concord, because those allocations seem way off 475 00:36:15,940 --> 00:36:17,440 from what we're proposing. 476 00:36:17,440 --> 00:36:18,660 So I'm not exactly sure. 477 00:36:18,660 --> 00:36:22,860 When you say benchmarking, in what capacity? 478 00:36:24,380 --> 00:36:27,600 I think the goal of that question is-- 479 00:36:27,600 --> 00:36:29,100 the intention is not, at today's meeting, 480 00:36:29,100 --> 00:36:32,540 to say, we want to charge X number for projects, 481 00:36:32,540 --> 00:36:34,500 because I think if we do that, we'll get five 482 00:36:34,500 --> 00:36:36,900 different directions on that. 483 00:36:37,600 --> 00:36:41,180 I think the goal is, generally, where 484 00:36:41,180 --> 00:36:43,700 do you want the city to align? 485 00:36:43,700 --> 00:36:47,120 And then part of the discussion about some of the other items, 486 00:36:47,120 --> 00:36:51,540 there may be direction that's provided that there's 487 00:36:51,540 --> 00:36:55,700 more of a priority for emphasizing one of the fees 488 00:36:55,700 --> 00:36:59,840 that we have over others, reducing some, keeping 489 00:36:59,840 --> 00:37:05,580 some the same, based on those priorities of the council. 490 00:37:05,580 --> 00:37:06,400 OK, great. 491 00:37:06,400 --> 00:37:12,340 So with that said, I just want to call out public safety. 492 00:37:12,340 --> 00:37:17,520 In comparison to other cities, it seems still somewhat low. 493 00:37:17,520 --> 00:37:19,700 And I know there's only two projects right now 494 00:37:19,700 --> 00:37:21,120 for public safety. 495 00:37:21,120 --> 00:37:23,880 It's an enhancement of the police department 496 00:37:23,880 --> 00:37:25,740 and I think vehicles. 497 00:37:25,740 --> 00:37:30,100 And say, in comparison to something else which was quite 498 00:37:30,100 --> 00:37:33,680 high, parks and recreation, which is over $9,000, 499 00:37:33,680 --> 00:37:37,280 and the parkland dedication, which is $6,000, 500 00:37:37,718 --> 00:37:40,260 it just seems like we should take a look at the public safety 501 00:37:40,260 --> 00:37:44,220 component and see if that seems reasonable to the council 502 00:37:44,220 --> 00:37:49,940 and if there's any other projects that we want to look 503 00:37:49,940 --> 00:37:52,940 at to support public safety. 504 00:37:54,520 --> 00:37:56,140 If that's the direction, staff can 505 00:37:56,140 --> 00:38:00,940 work with the chief of police to identify 506 00:38:00,940 --> 00:38:03,820 if there's any additional plans beyond what's 507 00:38:03,820 --> 00:38:08,200 been identified that may or may not have been codified yet. 508 00:38:08,200 --> 00:38:13,600 What I would like to make a minor clarification, 509 00:38:13,780 --> 00:38:15,780 there's actually three projects that 510 00:38:15,780 --> 00:38:17,480 are included for public safety. 511 00:38:17,480 --> 00:38:21,680 The third is securing parking as well. 512 00:38:22,140 --> 00:38:23,580 OK, thank you. 513 00:38:23,580 --> 00:38:26,460 Thanks So one of the questions I have 514 00:38:26,460 --> 00:38:28,340 in looking at some of the projects, 515 00:38:28,340 --> 00:38:31,600 under the parkland dedication, I know 516 00:38:31,600 --> 00:38:34,665 there was a category called acquisition, land acquisition. 517 00:38:34,665 --> 00:38:36,400 We've done a lot of that already, 518 00:38:36,400 --> 00:38:37,500 so I wasn't sure which acquisition 519 00:38:37,500 --> 00:38:40,440 we wanted to-- what other parks we want to acquire. 520 00:38:40,440 --> 00:38:42,200 We've acquired Alhambra Highlands 521 00:38:42,200 --> 00:38:46,000 and have a new park in Martinez as well. 522 00:38:46,000 --> 00:38:48,100 And then enhancing the dog park was on there. 523 00:38:48,100 --> 00:38:50,530 And I know that there was some concern about the dog park, 524 00:38:50,530 --> 00:38:54,900 whether or not that was a legit location. 525 00:38:54,900 --> 00:38:56,630 And then the last one was the waterfront stage. 526 00:38:56,630 --> 00:38:58,710 And I didn't realize we were investing 527 00:38:58,710 --> 00:39:04,710 any money in the amphitheater, or is this something different? 528 00:39:05,190 --> 00:39:07,910 You guys are looking at me like, what? 529 00:39:07,910 --> 00:39:09,750 The waterfront stage I was talking about 530 00:39:09,750 --> 00:39:15,470 was part of the original discussion in the Trust Land Use 531 00:39:15,470 --> 00:39:19,530 Plan to have a stage, and it predated the waterfront project. 532 00:39:19,530 --> 00:39:20,300 Yeah. 533 00:39:20,300 --> 00:39:20,570 OK. 534 00:39:20,570 --> 00:39:22,430 OK, got that. 535 00:39:22,430 --> 00:39:24,350 OK. 536 00:39:24,350 --> 00:39:28,470 So I was just going through all the different projects 537 00:39:28,470 --> 00:39:30,910 under the different categories and looking at them 538 00:39:30,910 --> 00:39:34,230 to determine, is there any place where 539 00:39:34,230 --> 00:39:37,490 there's any more room for public safety allocations? 540 00:39:37,490 --> 00:39:38,690 I just called that one. 541 00:39:38,690 --> 00:39:43,470 There's others just in looking at some of these things. 542 00:39:43,470 --> 00:39:45,210 Can I clarify your question? 543 00:39:45,210 --> 00:39:52,410 Are you asking to make the public safety fee higher or just 544 00:39:53,590 --> 00:39:57,550 list more projects that would qualify for those fees? 545 00:39:57,550 --> 00:39:59,510 So at this time, I would like to make sure 546 00:39:59,510 --> 00:40:03,490 that we are fully evaluating all the needs of public safety 547 00:40:03,490 --> 00:40:05,870 because to me, public safety is really 548 00:40:05,870 --> 00:40:08,130 number one in our community. 549 00:40:08,130 --> 00:40:10,730 We just celebrated National Night Out last night. 550 00:40:10,730 --> 00:40:13,190 And we celebrated all of our first responders 551 00:40:13,190 --> 00:40:15,300 and the amazing job that they do. 552 00:40:15,300 --> 00:40:17,290 And I know that it's a very challenging job, 553 00:40:17,290 --> 00:40:19,810 and there's always a lot of resources that they need. 554 00:40:19,810 --> 00:40:21,790 So I would want to make sure that this 555 00:40:21,790 --> 00:40:23,830 is an opportunity for Chief White 556 00:40:23,830 --> 00:40:27,333 to vocalize anything that he feels he may need to improve 557 00:40:27,333 --> 00:40:28,250 our police department. 558 00:40:28,250 --> 00:40:31,510 And this would be a time where we can maybe add a project 559 00:40:31,510 --> 00:40:34,790 or do something that maybe we aren't aware of 560 00:40:34,790 --> 00:40:40,230 and then maybe make some fees somewhat higher in that area 561 00:40:40,230 --> 00:40:41,790 to accommodate some of the projects 562 00:40:41,790 --> 00:40:44,610 that public safety may be needing or facing. 563 00:40:44,610 --> 00:40:47,212 That's just what I'm just shouting out 564 00:40:47,212 --> 00:40:48,670 because I think that we should just 565 00:40:48,670 --> 00:40:50,450 take a deep look at public safety 566 00:40:50,450 --> 00:40:54,845 when we have an opportunity to do so. 567 00:41:01,270 --> 00:41:04,790 So I actually was looking to get some clarification 568 00:41:04,790 --> 00:41:08,670 on one of the other questions that you referenced, 569 00:41:08,670 --> 00:41:10,570 if that's OK, on the childcare. 570 00:41:10,570 --> 00:41:11,470 Can I ask about that? 571 00:41:11,470 --> 00:41:12,150 OK. 572 00:41:12,150 --> 00:41:16,110 So, Michael, do I understand correctly that-- 573 00:41:16,110 --> 00:41:20,910 so we currently have an allocation for childcare fees. 574 00:41:20,910 --> 00:41:24,100 But if I understood you correctly, 575 00:41:24,100 --> 00:41:28,210 we don't actually run any childcare facilities. 576 00:41:28,370 --> 00:41:30,570 So it closed two years ago. 577 00:41:30,570 --> 00:41:35,910 So the question is, how much money have we collected? 578 00:41:35,910 --> 00:41:37,490 And what is its status? 579 00:41:37,490 --> 00:41:38,530 It's pretty minimal. 580 00:41:38,530 --> 00:41:42,570 We have about $8,000 that is available in that fund. 581 00:41:42,570 --> 00:41:44,750 And so that would be something that we 582 00:41:44,750 --> 00:41:46,410 would need to go through the process-- 583 00:41:46,410 --> 00:41:48,430 if the fee is eliminated, we would 584 00:41:48,430 --> 00:41:50,710 go through the process of refunding 585 00:41:50,710 --> 00:41:53,430 that balance and start collecting going forward. 586 00:41:53,430 --> 00:41:54,930 OK. 587 00:41:54,930 --> 00:41:58,430 We couldn't reallocate it to another bucket, if you will? 588 00:41:58,430 --> 00:41:58,930 No. 589 00:41:58,930 --> 00:41:59,430 No? 590 00:41:59,430 --> 00:42:01,430 All right. 591 00:42:03,190 --> 00:42:06,710 So along those similar lines, just 592 00:42:06,710 --> 00:42:13,310 for my personal edification, when we bring on a new housing 593 00:42:13,870 --> 00:42:17,310 project, for instance, permitted, built out, 594 00:42:17,310 --> 00:42:22,710 what have you, what, if any, recourse is there 595 00:42:24,470 --> 00:42:27,470 for impacts on our schools? 596 00:42:28,310 --> 00:42:30,710 Is there anything in any of this that we 597 00:42:30,710 --> 00:42:35,700 collect that helps them offset some of the impacts 598 00:42:35,700 --> 00:42:36,130 that they incur? 599 00:42:36,130 --> 00:42:39,110 So there are school fees that the individual school districts 600 00:42:39,110 --> 00:42:41,000 collect on construction as well. 601 00:42:41,000 --> 00:42:43,140 We don't have authority over that, 602 00:42:43,140 --> 00:42:46,120 which is why that's not included as part of this nexus study. 603 00:42:46,120 --> 00:42:46,900 Oh, OK. 604 00:42:46,900 --> 00:42:47,800 Got it. 605 00:42:47,800 --> 00:42:50,540 But there is something that does get collected. 606 00:42:50,540 --> 00:42:53,400 OK, well, that's somewhat reassuring. 607 00:42:53,400 --> 00:42:59,400 What I would also add to that is by having more units constructed 608 00:42:59,400 --> 00:43:01,760 and having more residents, we in turn 609 00:43:01,760 --> 00:43:05,280 are increasing property values and property taxes 610 00:43:05,280 --> 00:43:08,960 and having more people with sales tax purposes, 611 00:43:08,960 --> 00:43:12,800 which in turn has other intrinsic benefits 612 00:43:12,800 --> 00:43:14,500 for the school district as well. 613 00:43:14,500 --> 00:43:15,660 OK, got it. 614 00:43:15,660 --> 00:43:16,200 Yes. 615 00:43:16,200 --> 00:43:18,540 OK, thank you for that clarification. 616 00:43:18,540 --> 00:43:20,540 That is helpful. 617 00:43:21,420 --> 00:43:25,500 So just jumping back then to the first question, 618 00:43:25,500 --> 00:43:30,300 I think I agree with Council Member McKillop 619 00:43:30,440 --> 00:43:36,360 as far as a need to thoroughly evaluate where the need is 620 00:43:36,360 --> 00:43:42,360 and if there is an opportunity to further support PD. 621 00:43:43,400 --> 00:43:46,600 We understand that we're certainly not where 622 00:43:46,600 --> 00:43:49,100 we want to be with our staffing and what have you, 623 00:43:49,100 --> 00:43:51,280 but if there's other things that we 624 00:43:51,280 --> 00:43:54,360 can do to help support their mission, 625 00:43:54,360 --> 00:43:58,560 I think that's worthy of additional discussion. 626 00:44:00,840 --> 00:44:05,640 With respect to the question, though, my general sense 627 00:44:05,640 --> 00:44:09,840 is that we, collectively, all of us, 628 00:44:10,240 --> 00:44:15,640 have been working in earnest to overhaul our zoning 629 00:44:15,640 --> 00:44:17,880 over the past many months. 630 00:44:17,880 --> 00:44:21,560 We still have some more work to do, as you well know. 631 00:44:21,560 --> 00:44:24,740 But essentially, from my vantage point, 632 00:44:24,740 --> 00:44:28,780 I'm looking at this as part of a broader toolbox. 633 00:44:28,780 --> 00:44:34,180 What can we do to encourage more investment development 634 00:44:36,800 --> 00:44:38,800 in the community? 635 00:44:38,800 --> 00:44:40,540 And there's a lot, like you said. 636 00:44:40,540 --> 00:44:43,000 You referenced, I believe, market forces 637 00:44:43,000 --> 00:44:45,000 in the presentation. 638 00:44:45,680 --> 00:44:49,360 We have very little control over those market forces. 639 00:44:49,360 --> 00:44:51,580 So the parts that we do have control over, 640 00:44:51,580 --> 00:44:55,400 such as what we're looking at here as far as impact fees, 641 00:44:55,400 --> 00:45:00,800 I would want to try and make it so that it 642 00:45:00,800 --> 00:45:05,000 continues to be an incentive to bring 643 00:45:05,800 --> 00:45:06,740 in that additional investment. 644 00:45:06,740 --> 00:45:11,680 So I think in that low to middle tier, I think, 645 00:45:11,680 --> 00:45:15,440 is most appropriate right now from where 646 00:45:15,440 --> 00:45:21,440 I'm sitting because I'm looking at it not in isolation. 647 00:45:21,460 --> 00:45:25,100 I'm looking at it as part of a broader initiative. 648 00:45:25,100 --> 00:45:27,200 What other pieces have we been working on? 649 00:45:27,200 --> 00:45:30,800 So when you take the zoning, for instance, 650 00:45:30,800 --> 00:45:34,320 that's going to take time to bear fruit because we've been 651 00:45:34,320 --> 00:45:35,780 doing that here along the way. 652 00:45:35,780 --> 00:45:38,820 That was a huge overhaul after how many decades? 653 00:45:38,820 --> 00:45:40,360 I mean, some of the codes-- 654 00:45:40,360 --> 00:45:41,880 correct me if I'm wrong-- 655 00:45:41,880 --> 00:45:43,680 they were really outdated. 656 00:45:43,680 --> 00:45:46,120 And that was one of the things that-- at least some 657 00:45:46,120 --> 00:45:49,320 of the feedback that I have received from folks 658 00:45:49,320 --> 00:45:54,000 is Martinez has not historically been a place where 659 00:45:54,000 --> 00:45:56,720 people want to come and invest. 660 00:45:56,720 --> 00:45:59,440 Some of it is because of market forces, but then some of it 661 00:45:59,440 --> 00:46:03,520 is also because of policies that past city administrations 662 00:46:03,520 --> 00:46:04,760 have adopted. 663 00:46:04,760 --> 00:46:10,780 And so now, given where we are at this critical junction, 664 00:46:10,780 --> 00:46:14,980 I think we need to tread cautiously. 665 00:46:15,800 --> 00:46:17,820 And if I'm looking at comparison cities, 666 00:46:17,820 --> 00:46:22,620 I'm looking at it as not Benicia, Hercules. 667 00:46:22,620 --> 00:46:24,920 They're a little bit more similar in population. 668 00:46:24,920 --> 00:46:29,720 Then Concord's just a whole beast unto itself. 669 00:46:30,540 --> 00:46:33,410 I don't think there's an accurate way for us 670 00:46:33,410 --> 00:46:35,810 to benchmark against personally. 671 00:46:37,930 --> 00:46:41,900 So those are just some general thoughts that I have 672 00:46:41,900 --> 00:46:43,790 as it pertains to that first question. 673 00:46:43,790 --> 00:46:45,650 I hope that's helpful. 674 00:46:45,650 --> 00:46:48,450 And then I would be remiss if I failed to point out we're 675 00:46:48,450 --> 00:46:52,250 looking at our regular standing session tonight. 676 00:46:52,250 --> 00:46:54,510 Census tracts, opportunity zones, 677 00:46:54,510 --> 00:46:57,150 that's an additional tool in the toolbox. 678 00:46:57,150 --> 00:47:03,450 So I want to be able to be cognizant of we need 679 00:47:03,450 --> 00:47:07,650 to be holistic In our thought process 680 00:47:11,370 --> 00:47:14,370 here, if that makes sense. 681 00:47:14,530 --> 00:47:15,410 Thank you. 682 00:47:15,410 --> 00:47:16,370 Thanks. 683 00:47:16,370 --> 00:47:19,490 I just want to make a comment. 684 00:47:19,490 --> 00:47:21,630 You both have talked about the first bullet, 685 00:47:21,630 --> 00:47:24,170 and I just want to provide my little input 686 00:47:24,170 --> 00:47:27,970 on the very last bullet about reducing or waiving fees. 687 00:47:27,970 --> 00:47:32,170 I very much appreciate the comments about the public safety 688 00:47:32,170 --> 00:47:36,410 fee, but I want to provide a little bit of input 689 00:47:36,410 --> 00:47:39,770 from conversations that I had with other cities at the Cal 690 00:47:39,770 --> 00:47:42,170 League of Cities Conference last year. 691 00:47:42,170 --> 00:47:44,530 I spoke to a mayor from a city who 692 00:47:44,530 --> 00:47:48,137 had had several really great housing projects built. 693 00:47:48,137 --> 00:47:49,470 And I said, how did you do this? 694 00:47:49,470 --> 00:47:50,950 How did you attract people? 695 00:47:50,950 --> 00:47:53,710 And he said, we waived development fees. 696 00:47:53,710 --> 00:47:57,530 And so I just want us to be mindful that development impact 697 00:47:57,530 --> 00:48:00,530 fees might be something that is one of the ways 698 00:48:00,530 --> 00:48:03,770 that we can absolutely flag to people that we're 699 00:48:03,770 --> 00:48:05,750 interested in attracting projects. 700 00:48:05,750 --> 00:48:09,950 And so we could both, simultaneously, benchmark 701 00:48:10,530 --> 00:48:13,730 ourselves at the middle or lower, but we could also say, 702 00:48:13,730 --> 00:48:16,190 this is where we want our fees to ultimately be, 703 00:48:16,190 --> 00:48:18,850 but on the short term, we would like to reduce or waive 704 00:48:18,850 --> 00:48:20,510 fees for various categories. 705 00:48:20,510 --> 00:48:23,500 And we can talk about that of what that means, 706 00:48:23,500 --> 00:48:25,290 or we could tie it to our housing element 707 00:48:25,290 --> 00:48:26,910 because that expires. 708 00:48:26,910 --> 00:48:29,430 And this one does, at least in 2031. 709 00:48:29,430 --> 00:48:36,300 And so if we're trying to really spur those 1,345 housing units, 710 00:48:37,250 --> 00:48:38,150 maybe that's the way to go. 711 00:48:38,150 --> 00:48:41,130 So I just wanted to say that so people can think about-- 712 00:48:41,130 --> 00:48:42,970 that those are two different ideas, 713 00:48:42,970 --> 00:48:47,330 and they can both exist at the same time. 714 00:48:47,330 --> 00:48:50,330 Mayor, do we have flexibility project 715 00:48:50,330 --> 00:48:52,470 by project in how we apply our fees? 716 00:48:52,470 --> 00:48:53,270 Do we know that? 717 00:48:53,270 --> 00:48:54,520 That's a question for Michael. 718 00:48:54,520 --> 00:48:56,520 I don't know. 719 00:48:56,610 --> 00:49:01,330 So we do need to apply fees consistently. 720 00:49:01,330 --> 00:49:06,510 So you can say types of projects that you want to incentivize. 721 00:49:06,510 --> 00:49:09,100 And as long as there's ways that you're 722 00:49:09,100 --> 00:49:12,450 distinguishing that-- so you could prioritize 723 00:49:12,450 --> 00:49:14,190 multifamily projects. 724 00:49:14,190 --> 00:49:16,130 You could prioritize projects that 725 00:49:16,130 --> 00:49:19,650 have a certain percentage of affordable units. 726 00:49:19,650 --> 00:49:24,370 You could prioritize multifamily projects of a certain size. 727 00:49:24,370 --> 00:49:26,370 There's utmost flexibility. 728 00:49:26,810 --> 00:49:28,860 You also have the ability that you 729 00:49:28,860 --> 00:49:34,620 could lock in fees for projects that are already going-- 730 00:49:34,620 --> 00:49:37,940 have already received entitlements so that there's not 731 00:49:37,940 --> 00:49:41,792 a change beyond what they previously were envisioning. 732 00:49:41,792 --> 00:49:43,500 And this would be something going forward 733 00:49:43,500 --> 00:49:46,140 for new projects that are submitted. 734 00:49:46,140 --> 00:49:48,203 And then finally, throwing out another option-- 735 00:49:48,203 --> 00:49:49,620 I mean, there's many, many options 736 00:49:49,620 --> 00:49:51,162 of how the council could choose to go 737 00:49:51,162 --> 00:49:56,820 about this-- you could incentivize this for the first X 738 00:49:56,820 --> 00:49:59,460 number of units that come in, rather than it 739 00:49:59,460 --> 00:50:02,460 being an open-ended provision as well. 740 00:50:02,460 --> 00:50:05,257 And when I was asking you about this last week, one 741 00:50:05,257 --> 00:50:06,840 of the other questions I said, I said, 742 00:50:06,840 --> 00:50:09,580 could we tie it to the opportunity sites 743 00:50:09,580 --> 00:50:11,697 that were called out in the housing element? 744 00:50:11,697 --> 00:50:12,780 Because remember, we had-- 745 00:50:12,780 --> 00:50:13,322 I don't know. 746 00:50:13,322 --> 00:50:15,322 Would you say 60? 747 00:50:15,720 --> 00:50:16,220 20? 748 00:50:16,220 --> 00:50:17,760 I don't remember the exact number, 749 00:50:17,760 --> 00:50:21,680 but there are many, many housing element opportunity sites. 750 00:50:21,680 --> 00:50:23,940 And they're marked on the map throughout the city 751 00:50:23,940 --> 00:50:25,940 of opportunity sites. 752 00:50:26,500 --> 00:50:29,797 It's a very different category than what he just mentioned, 753 00:50:29,797 --> 00:50:32,797 but that's an option, too. 754 00:50:34,200 --> 00:50:35,500 Would you like to go? 755 00:50:35,500 --> 00:50:40,300 I just don't even know where to start. 756 00:50:40,580 --> 00:50:44,780 Yeah, it's a lot of moving parts. 757 00:50:48,440 --> 00:50:53,240 I want us to be attractive to development. 758 00:50:56,980 --> 00:51:02,980 I want us to stop always being the low-cost leader. 759 00:51:08,380 --> 00:51:11,980 Looking at the fee comparisons, you 760 00:51:14,900 --> 00:51:19,100 think about, if we're talking about housing, 761 00:51:20,260 --> 00:51:23,300 more people are going to affect transportation. 762 00:51:23,300 --> 00:51:27,000 More people are going to require more around public safety. 763 00:51:27,000 --> 00:51:30,860 And so just looking at this in the comparison, 764 00:51:30,860 --> 00:51:34,620 I still think it's an apples to oranges comparison 765 00:51:34,620 --> 00:51:37,500 because different cities, and it's not 766 00:51:37,500 --> 00:51:39,900 calculating full cost recovery. 767 00:51:41,980 --> 00:51:45,320 We appear to be low and trailing. 768 00:51:45,320 --> 00:51:51,920 So I definitely want to make us competitive with impact fees 769 00:51:59,520 --> 00:52:06,120 but not to the extent where it makes us less attractive. 770 00:52:06,220 --> 00:52:10,300 So this is definitely going to be something 771 00:52:10,300 --> 00:52:13,300 that has to be nuanced. 772 00:52:13,840 --> 00:52:18,400 And the mayor just brought up waiving. 773 00:52:18,600 --> 00:52:23,300 I don't know why I just cringed with waiving impact 774 00:52:23,300 --> 00:52:25,560 fees because it's just that to me, I mean, 775 00:52:25,560 --> 00:52:29,260 we're losing revenue, or that could potentially 776 00:52:29,260 --> 00:52:33,560 be putting more pressure on our general fund. 777 00:52:33,560 --> 00:52:37,160 So I don't have an answer. 778 00:52:37,220 --> 00:52:43,220 This just seems it's going to have to be nuanced. 779 00:52:43,760 --> 00:52:47,140 But I guess what oftentimes frustrates 780 00:52:47,140 --> 00:52:53,140 me is that in situations like this, we're always lagging. 781 00:52:53,960 --> 00:52:57,820 And we've got to get to a point where we're competitive 782 00:52:57,820 --> 00:53:01,420 and not giving away the store. 783 00:53:04,780 --> 00:53:06,660 I really appreciate your report. 784 00:53:06,660 --> 00:53:08,840 Just for everybody's edification, Michael, 785 00:53:08,840 --> 00:53:10,620 can you remind me why we're not using 786 00:53:10,620 --> 00:53:13,620 Pleasant Hill as a comparison? 787 00:53:14,740 --> 00:53:16,500 So the consultant team actually originally 788 00:53:16,500 --> 00:53:20,170 pulled information for Pleasant Hill, but it was so dissimilar. 789 00:53:20,170 --> 00:53:21,990 And the reason it was so dissimilar 790 00:53:21,990 --> 00:53:25,830 is their entire structure is different than the other cities. 791 00:53:25,830 --> 00:53:29,110 They have a special district that handles all of their parks 792 00:53:29,110 --> 00:53:32,390 and recreation components, which is a major component 793 00:53:32,390 --> 00:53:34,510 of our current fee structure. 794 00:53:34,510 --> 00:53:37,630 So there was no ability to do an apples and apples 795 00:53:37,630 --> 00:53:41,830 comparison since there are multiple entities involved. 796 00:53:42,310 --> 00:53:44,950 And then also, remind me, because it 797 00:53:44,950 --> 00:53:49,510 seems like we're closest in fees for the single family 798 00:53:49,510 --> 00:53:51,990 fee per unit to Hercules, why are we 799 00:53:51,990 --> 00:53:55,390 so close or similar to them? 800 00:53:55,390 --> 00:53:57,390 Or are we? 801 00:53:58,785 --> 00:54:00,830 I don't think there's necessarily 802 00:54:00,830 --> 00:54:03,500 a reason for why we're similar to Hercules. 803 00:54:03,500 --> 00:54:04,710 I think it's just that we currently 804 00:54:04,710 --> 00:54:09,930 are based on previous decisions that both councils have made. 805 00:54:09,930 --> 00:54:10,430 OK. 806 00:54:10,430 --> 00:54:14,310 So it sounds like these are the questions you're 807 00:54:14,310 --> 00:54:16,950 looking for help on, right? 808 00:54:16,950 --> 00:54:20,230 So if I just go through those, I would 809 00:54:20,230 --> 00:54:27,430 like to be in the low to middle comparatively to our peers. 810 00:54:28,300 --> 00:54:30,790 I would like to use Hercules just 811 00:54:30,790 --> 00:54:33,650 because I think they're very similar to us, 812 00:54:33,650 --> 00:54:36,500 more so than Concord. 813 00:54:36,190 --> 00:54:38,210 I'm not sure about the second one. 814 00:54:38,210 --> 00:54:40,350 I think I need more information on that. 815 00:54:40,350 --> 00:54:45,150 I do want to eliminate the childcare fees. 816 00:54:46,700 --> 00:54:49,310 And I do support expanding the cultural fees 817 00:54:49,310 --> 00:54:51,710 to include public art. 818 00:54:53,310 --> 00:54:58,670 And I would like to reduce the fees for ADUs. 819 00:54:58,670 --> 00:55:01,150 And does it have to be 750 square feet, 820 00:55:01,150 --> 00:55:04,710 or could it be smaller at 500? 821 00:55:04,710 --> 00:55:08,830 So currently, there are no impact fees charged for ADUs 822 00:55:08,830 --> 00:55:11,150 that are less than 750 square feet. 823 00:55:11,150 --> 00:55:13,790 There are proportional fees that are charged for ADUs that 824 00:55:13,790 --> 00:55:15,970 are 750 square feet or larger. 825 00:55:15,970 --> 00:55:17,510 So the council would have the option 826 00:55:17,510 --> 00:55:20,830 that you could choose to just waive or reduce 827 00:55:20,830 --> 00:55:23,910 those fees when they are charged for larger ADUs. 828 00:55:23,910 --> 00:55:24,410 Very good. 829 00:55:24,410 --> 00:55:28,530 So yeah, I would like to reduce those fees for the 750 830 00:55:28,530 --> 00:55:30,310 square feet and above. 831 00:55:30,310 --> 00:55:36,300 And I'd like to see our single-family fee per unit 832 00:55:36,300 --> 00:55:38,300 closer to Hercules. 833 00:55:38,830 --> 00:55:44,830 So I'd like to talk about making it somewhere around $13,000, 834 00:55:48,700 --> 00:55:49,350 which would-- 835 00:55:49,350 --> 00:55:53,550 with the elimination of the childcare fees, 836 00:55:53,980 --> 00:55:55,730 I think it would really make us look good. 837 00:55:55,730 --> 00:56:00,430 And I think reducing the fees moving forward 838 00:56:00,430 --> 00:56:02,990 would help get the message out there that Martinez 839 00:56:02,990 --> 00:56:05,390 is incentivizing more building. 840 00:56:06,630 --> 00:56:10,830 So I think that would be important. 841 00:56:10,830 --> 00:56:13,950 Say again, what is it that is telling people that we're 842 00:56:13,950 --> 00:56:15,310 were incentivizing building? 843 00:56:15,310 --> 00:56:18,110 By dropping our fees and lowering it down 844 00:56:18,110 --> 00:56:19,900 for a single family. 845 00:56:19,900 --> 00:56:21,900 Oh, OK. 846 00:56:21,510 --> 00:56:23,910 I think that's it. 847 00:56:26,230 --> 00:56:32,100 I would note that there is-- correct me if I'm wrong. 848 00:56:32,100 --> 00:56:34,950 I believe there is pending legislation in Sacramento right 849 00:56:34,950 --> 00:56:37,630 now that speaks to this last question about, 850 00:56:37,630 --> 00:56:44,830 do we want to waive the fees for ADUs over 750 square feet? 851 00:56:46,190 --> 00:56:49,670 My understanding is that it would dramatically 852 00:56:49,670 --> 00:56:54,470 limit the ability of jurisdictions such as ours 853 00:56:55,630 --> 00:56:59,230 to be able to charge accordingly. 854 00:57:00,350 --> 00:57:02,850 It basically would really do that. 855 00:57:02,850 --> 00:57:07,290 And I think there's some concern in some jurisdictions, I guess, 856 00:57:07,290 --> 00:57:11,490 that that may unnecessarily hamstring the jurisdiction 857 00:57:13,960 --> 00:57:17,540 So I think there's a couple of things to point out. 858 00:57:17,540 --> 00:57:21,880 So there are multiple pending bills that will potentially 859 00:57:21,880 --> 00:57:24,280 impact development impact fees. 860 00:57:26,360 --> 00:57:29,640 Vice Mayor Malhi, you spoke to one of them. 861 00:57:29,640 --> 00:57:32,800 Two others I think are important to point out 862 00:57:32,800 --> 00:57:35,680 is there's also pending legislation for-- 863 00:57:36,160 --> 00:57:38,840 and the city attorney can speak more eloquently 864 00:57:38,840 --> 00:57:43,640 to this about the potential waiver of impact 865 00:57:45,440 --> 00:57:49,400 fees for affordable units when there 866 00:57:49,800 --> 00:57:54,320 is state funding that's provided associated with those projects. 867 00:57:54,320 --> 00:57:56,280 And then finally, which was alluded 868 00:57:56,280 --> 00:58:01,120 to as part of Megan's original presentation, legislation going 869 00:58:01,120 --> 00:58:04,240 in the direction of collecting impact fees per square foot 870 00:58:04,240 --> 00:58:06,640 rather than per unit. 871 00:58:07,680 --> 00:58:08,740 If I could add to that. 872 00:58:08,740 --> 00:58:12,360 So the bill that was approved is AB 179, one 873 00:58:12,360 --> 00:58:16,240 of the budget trailer bills from June. 874 00:58:16,240 --> 00:58:20,440 Effective July 1, '27, so 11 months from now, 875 00:58:21,240 --> 00:58:24,240 it requires state entities awarding 876 00:58:24,440 --> 00:58:27,520 competitive affordable housing grants for multifamily projects 877 00:58:27,520 --> 00:58:29,800 to take into account whether or not 878 00:58:29,800 --> 00:58:32,120 the applicant, typically, the city, 879 00:58:32,120 --> 00:58:35,680 has waived or reduced impact fees as part of the grant 880 00:58:35,680 --> 00:58:36,640 application. 881 00:58:36,640 --> 00:58:38,440 The headline that's been batted around 882 00:58:38,440 --> 00:58:42,840 is that it requires cities to waive impact 883 00:58:42,840 --> 00:58:44,775 fees for restricted affordable housing, 884 00:58:44,775 --> 00:58:45,900 and that's not quite right. 885 00:58:45,900 --> 00:58:48,600 That headline is a bit too much of a collapse, 886 00:58:48,600 --> 00:58:51,560 but it does require that waiver of affordable housing 887 00:58:51,560 --> 00:58:53,780 fees, impact fees for affordable housing projects 888 00:58:53,780 --> 00:58:56,280 be taken into account as part of any competitive state grant 889 00:58:56,280 --> 00:58:57,120 project. 890 00:58:57,120 --> 00:59:00,880 And similarly, if the city does not 891 00:59:00,880 --> 00:59:05,800 waive fees for an application, then the competitive grant award 892 00:59:05,800 --> 00:59:08,800 has to be reduced by the amount of fees not waived. 893 00:59:08,800 --> 00:59:10,440 So the incentive is to waive fees 894 00:59:10,440 --> 00:59:14,400 for projects that are benefiting from state competitive grants. 895 00:59:14,400 --> 00:59:16,280 So that's something to take into account as well, 896 00:59:16,280 --> 00:59:18,180 but it doesn't force us to waive fees. 897 00:59:18,180 --> 00:59:21,800 It preserves the policy choice for the council. 898 00:59:21,800 --> 00:59:25,000 And, yeah, the ADU, there's 1/2 a dozen ADU bills pending, 899 00:59:25,000 --> 00:59:26,180 as is typical this time. 900 00:59:26,180 --> 00:59:28,680 And we'll see what happens. 901 00:59:28,680 --> 00:59:30,817 But we would suggest proceeding with the policy 902 00:59:30,817 --> 00:59:31,900 choices the council wants. 903 00:59:31,900 --> 00:59:38,500 And then if we have to revisit come January, we will. 904 00:59:39,640 --> 00:59:44,800 The only other thing I just want to bring up 905 00:59:44,800 --> 00:59:50,800 around the childcare fees is we should just be mindful 906 00:59:51,640 --> 00:59:57,880 in future thinking, meaning that one of the things we are seeing 907 00:59:57,880 --> 01:00:02,800 are new families coming into our community. 908 01:00:02,600 --> 01:00:07,400 When we get the waterfront up and running, 909 01:00:07,720 --> 01:00:12,520 that's going to draw families with younger children 910 01:00:14,400 --> 01:00:17,780 as we do more housing, single-family housing. 911 01:00:17,780 --> 01:00:21,940 So just something we may want to be mindful of. 912 01:00:21,940 --> 01:00:25,400 We may not see it today, but it is coming. 913 01:00:25,400 --> 01:00:27,640 And so we are going to, at some point, 914 01:00:27,640 --> 01:00:33,400 need to be thinking about how we do accommodate young families 915 01:00:33,400 --> 01:00:35,800 coming into our community. 916 01:00:35,840 --> 01:00:39,600 I support you 100% And I was really disappointed when we 917 01:00:39,600 --> 01:00:43,458 found out that it was only $8,000 because to clarify, 918 01:00:43,458 --> 01:00:45,000 we used to have a childcare facility. 919 01:00:45,000 --> 01:00:47,540 It was a building that was owned by the city of Martinez. 920 01:00:47,540 --> 01:00:49,480 It was at Murillo Park Elementary. 921 01:00:49,480 --> 01:00:53,680 And an organization leased it from us. 922 01:00:54,260 --> 01:00:56,200 And so that's what this fee was for. 923 01:00:56,200 --> 01:00:59,200 It was to be the landlord of this small, little preschool. 924 01:00:59,200 --> 01:01:01,960 When they did Murillo parks remodel two-- 925 01:01:01,960 --> 01:01:03,800 was it two years ago? 926 01:01:03,800 --> 01:01:04,940 Everything's blurry. 927 01:01:04,940 --> 01:01:07,330 So it may have been three. 928 01:01:07,330 --> 01:01:10,650 But the school district asked for the property back, 929 01:01:10,650 --> 01:01:12,310 and they got rid of the preschool. 930 01:01:12,310 --> 01:01:16,900 So now we don't have literally anything, any facility 931 01:01:16,900 --> 01:01:18,410 to use the childcare fees for. 932 01:01:18,410 --> 01:01:23,700 I would love to see us investing in childcare infrastructure, 933 01:01:23,700 --> 01:01:26,180 but that's different, and that's not currently on this list. 934 01:01:26,180 --> 01:01:27,930 So that's just something to be mindful of. 935 01:01:27,930 --> 01:01:28,790 What you're saying? 936 01:01:28,790 --> 01:01:30,500 100%. 937 01:01:30,500 --> 01:01:31,710 But it's not the same thing as that, 938 01:01:31,710 --> 01:01:35,130 and so we may want to talk more in the future of how 939 01:01:35,130 --> 01:01:38,430 we can better support childcare in the city of Martinez. 940 01:01:38,430 --> 01:01:38,930 Right. 941 01:01:38,930 --> 01:01:42,390 And we don't have to adopt this for a long term. 942 01:01:42,390 --> 01:01:43,170 Correct? 943 01:01:43,170 --> 01:01:46,810 This can be a placeholder for now 944 01:01:46,810 --> 01:01:49,810 until we get forward till 2031. 945 01:01:52,770 --> 01:01:53,690 Correct. 946 01:01:53,690 --> 01:01:56,890 So the intention is we would adopt a nexus study that 947 01:01:56,890 --> 01:01:59,350 would get us through a number of years, 948 01:01:59,350 --> 01:02:03,810 but we will have to periodically update the nexus study based 949 01:02:03,810 --> 01:02:09,210 upon changing priorities of the city and city council. 950 01:02:12,970 --> 01:02:17,100 If the nexus study, again, not setting what the cap of fees 951 01:02:17,100 --> 01:02:20,510 could be, there is always the ability, 952 01:02:20,510 --> 01:02:25,850 as part of our regular and routine review of our user fee 953 01:02:25,850 --> 01:02:29,350 schedule, to make adjustments during those times 954 01:02:29,350 --> 01:02:34,170 as well as interim changes between when the fee updates are 955 01:02:34,170 --> 01:02:40,500 approved and when we do the next round of a nexus fee study. 956 01:02:40,500 --> 01:02:46,650 May I just very quickly follow up on the childcare discussion? 957 01:02:48,280 --> 01:02:52,500 Is there a stipulation in state law 958 01:02:52,500 --> 01:02:55,290 that says that if a jurisdiction collects 959 01:02:55,290 --> 01:02:58,570 these fees, that it could only be used for infrastructure? 960 01:02:58,570 --> 01:03:04,450 Or could it also be given out as a subsidy 961 01:03:04,450 --> 01:03:09,850 to those families that meet a certain income threshold? 962 01:03:11,130 --> 01:03:14,730 Is there any discretion around that? 963 01:03:14,770 --> 01:03:17,130 Unfortunately, generally, the Mitigation Fee Act 964 01:03:17,130 --> 01:03:19,290 requires that development impact fees 965 01:03:19,290 --> 01:03:21,810 be spent on physical infrastructure 966 01:03:21,810 --> 01:03:24,210 to accommodate new development. 967 01:03:24,730 --> 01:03:26,570 So off the top of my head, I don't 968 01:03:26,570 --> 01:03:28,597 think we would be able to put together 969 01:03:28,597 --> 01:03:30,930 that kind of an incentive program, but we'll take a look 970 01:03:30,930 --> 01:03:32,410 and confirm. 971 01:03:32,410 --> 01:03:36,370 What could happen, though, without opening up 972 01:03:36,370 --> 01:03:41,130 a us going sideways, just as we have done 973 01:03:41,130 --> 01:03:44,690 some cleanup to regulations for housing and industrial zoning 974 01:03:44,690 --> 01:03:46,810 incentives, as a couple of examples, 975 01:03:46,810 --> 01:03:48,650 it could be something that we could 976 01:03:48,650 --> 01:03:50,930 look at our childcare regulations that 977 01:03:50,930 --> 01:03:55,130 could incentivize private childcares to be established. 978 01:03:56,290 --> 01:03:57,770 I mean, I'm certainly open to that. 979 01:03:57,770 --> 01:04:01,290 And I thank Council Member Young for bringing up 980 01:04:01,290 --> 01:04:02,550 the point earlier. 981 01:04:02,550 --> 01:04:04,530 I think it's a very valid one. 982 01:04:04,530 --> 01:04:08,170 I would just say that we've already 983 01:04:08,170 --> 01:04:12,290 begun to see a lot of newer, younger families that 984 01:04:12,290 --> 01:04:17,750 have come in, particularly over the course of the pandemic. 985 01:04:17,750 --> 01:04:20,690 That's something that's become readily apparent. 986 01:04:20,690 --> 01:04:24,610 Anybody who goes down Sunday's farmer's market 987 01:04:24,610 --> 01:04:26,650 can see there's a noticeable uptick 988 01:04:26,650 --> 01:04:30,570 in the number of young families and strollers 989 01:04:30,570 --> 01:04:32,970 being pushed, for instance. 990 01:04:33,490 --> 01:04:39,250 And we know just how much of, gosh, an awful burden childcare 991 01:04:39,250 --> 01:04:42,650 costs are right now for a lot of working families. 992 01:04:42,650 --> 01:04:47,630 And so I think it is a very valid point. 993 01:04:47,630 --> 01:04:49,350 I thank you for bringing that up. 994 01:04:49,350 --> 01:04:55,168 And, I mean, I think for now, though, I mean, it seems-- 995 01:04:55,168 --> 01:04:55,710 I don't know. 996 01:04:55,710 --> 01:05:00,460 So if we eliminate it, can we get it back, I guess, 997 01:05:00,460 --> 01:05:03,460 is the question because it may not make sense now, 998 01:05:03,460 --> 01:05:05,640 but it may in the future. 999 01:05:05,640 --> 01:05:07,380 So do we leave it as a placeholder, 1000 01:05:07,380 --> 01:05:10,380 or what is the recommendation? 1001 01:05:12,100 --> 01:05:14,980 So the fee is so low that it's never 1002 01:05:14,980 --> 01:05:19,480 going to actually result in any physical improvement, 1003 01:05:19,480 --> 01:05:24,540 unless there was a substantial increase to that fee, which 1004 01:05:24,540 --> 01:05:26,680 would be counter to what I'm hearing 1005 01:05:26,680 --> 01:05:29,140 the majority of the council indicate that you want 1006 01:05:29,140 --> 01:05:31,140 to incentivize development. 1007 01:05:31,380 --> 01:05:35,540 So staff's recommendation would be that it actually 1008 01:05:35,540 --> 01:05:38,300 be eliminated at this time. 1009 01:05:38,300 --> 01:05:40,980 But when the development pattern changes 1010 01:05:40,980 --> 01:05:43,880 and we do a future nexus fee study, 1011 01:05:43,880 --> 01:05:47,500 and potentially the waterfront is revitalized at that point, 1012 01:05:47,500 --> 01:05:50,660 and we see more development happening throughout the city, 1013 01:05:50,660 --> 01:05:54,380 I think then there may be different opportunities 1014 01:05:54,380 --> 01:06:00,380 to potentially re-establish that fee as a newly added fee. 1015 01:06:01,620 --> 01:06:02,800 I'm fine with that. 1016 01:06:02,800 --> 01:06:06,460 I just didn't want the takeaway and the headline to be, 1017 01:06:06,460 --> 01:06:09,860 we don't support childcare, because this 1018 01:06:09,860 --> 01:06:12,140 is a lot more nuanced discussion, 1019 01:06:12,140 --> 01:06:14,500 and I don't want that to get lost here. 1020 01:06:14,500 --> 01:06:16,940 So I'm comfortable with that, but I just 1021 01:06:16,940 --> 01:06:18,540 want to be on the record. 1022 01:06:18,540 --> 01:06:21,840 None of us are saying, we don't care about childcare. 1023 01:06:21,840 --> 01:06:24,540 This is not about that. 1024 01:06:24,540 --> 01:06:28,580 So I just want to state categorically for the record 1025 01:06:28,580 --> 01:06:30,960 that that is not what this vote is about. 1026 01:06:30,960 --> 01:06:33,900 And I can add that staff hears you loud and clear 1027 01:06:33,900 --> 01:06:37,540 that we can look at other ways to incentivize childcare 1028 01:06:37,540 --> 01:06:41,140 other than it being through our impact fees. 1029 01:06:41,140 --> 01:06:43,700 So if I may, one thing that was different too 1030 01:06:43,700 --> 01:06:47,840 in 2003, the last time that a nexus study was done-- 1031 01:06:47,840 --> 01:06:51,640 I mean, this wasn't even just simply a city-owned facility. 1032 01:06:51,640 --> 01:06:53,920 It was actually operated by city employees. 1033 01:06:53,920 --> 01:06:56,620 There were city employees that were running this facility 1034 01:06:56,620 --> 01:06:57,640 for a number of years. 1035 01:06:57,640 --> 01:07:00,740 And then it shifted to a contract model. 1036 01:07:00,740 --> 01:07:03,300 And then it shifted to a lease model. 1037 01:07:03,300 --> 01:07:06,420 And it was in a lease model up until its expiration 1038 01:07:06,420 --> 01:07:08,620 because the school district took it back. 1039 01:07:08,620 --> 01:07:10,340 So it was a vastly different landscape 1040 01:07:10,340 --> 01:07:13,500 because it had that existing city-owned and city-run facility 1041 01:07:13,500 --> 01:07:14,700 back at the time. 1042 01:07:14,700 --> 01:07:19,340 So that's the difference now as this new study was done. 1043 01:07:19,340 --> 01:07:22,680 I would note that the county does run childcare facilities. 1044 01:07:22,680 --> 01:07:26,400 There's one at Public Works, I believe, if I'm not mistaken. 1045 01:07:26,400 --> 01:07:27,540 So I don't know. 1046 01:07:27,540 --> 01:07:31,480 But I believe it's just for the benefit of the employees there, 1047 01:07:31,480 --> 01:07:32,760 but I could be mistaken. 1048 01:07:32,760 --> 01:07:34,300 So, yeah. 1049 01:07:34,300 --> 01:07:36,300 Yeah. 1050 01:07:36,340 --> 01:07:41,780 So jumping back to childcare-- since I was a single parent with 1051 01:07:41,780 --> 01:07:45,380 twins, it was a huge expense-- 1052 01:07:46,140 --> 01:07:48,860 do we need to eliminate it? 1053 01:07:48,860 --> 01:07:53,660 Wouldn't this be the time to consider options? 1054 01:07:54,590 --> 01:07:57,590 You just mentioned three reiterations. 1055 01:07:59,510 --> 01:08:03,100 We had it as city staff, which maybe isn't the best. 1056 01:08:03,100 --> 01:08:04,950 Then we leased it. 1057 01:08:04,950 --> 01:08:06,450 We've gone through this full circle, 1058 01:08:06,450 --> 01:08:07,950 and now we're going to eliminate it. 1059 01:08:07,950 --> 01:08:10,310 Is there any other out-of-the-box thinking that we 1060 01:08:10,310 --> 01:08:13,170 could support childcare through this in some way? 1061 01:08:13,170 --> 01:08:14,270 Or is there-- 1062 01:08:14,270 --> 01:08:18,550 Yeah, so staff had some discussions on this. 1063 01:08:18,550 --> 01:08:20,970 The challenge is with impact fees, 1064 01:08:20,970 --> 01:08:23,189 the intention is that when they're collected, 1065 01:08:23,189 --> 01:08:27,910 they're spent in a relatively quick period of time. 1066 01:08:27,910 --> 01:08:32,830 The fact that we're limited to use the funds for city 1067 01:08:32,830 --> 01:08:37,630 facilities and we have no system in place 1068 01:08:38,290 --> 01:08:41,950 to manage a childcare facility, nor do we 1069 01:08:41,950 --> 01:08:45,550 have sufficient funds to build anything, 1070 01:08:48,990 --> 01:08:54,350 I don't think there is a solution in the near term that 1071 01:08:54,350 --> 01:08:56,750 could accommodate that wish. 1072 01:08:57,229 --> 01:09:01,810 Not even working with Woodbridge or anything along those lines? 1073 01:09:01,810 --> 01:09:02,810 No, it's not city owned. 1074 01:09:02,810 --> 01:09:06,609 I think they're working out of the school district facilities. 1075 01:09:06,609 --> 01:09:08,170 We did look creatively. 1076 01:09:08,170 --> 01:09:10,990 We thought, could we do something with the Boys & Girls 1077 01:09:10,990 --> 01:09:11,970 Club as an example? 1078 01:09:11,970 --> 01:09:13,830 We started looking at some other things, 1079 01:09:13,830 --> 01:09:18,750 and we didn't come up with a viable solution, unfortunately. 1080 01:09:18,750 --> 01:09:22,229 One other challenge to bear in mind that's inherent in DIFs 1081 01:09:22,229 --> 01:09:25,290 is the DIF pays for physical infrastructure. 1082 01:09:25,290 --> 01:09:27,510 It cannot pay for operations. 1083 01:09:27,510 --> 01:09:29,189 So a childcare facility in particular 1084 01:09:29,189 --> 01:09:32,950 requires both the facility and the childcare professionals 1085 01:09:32,950 --> 01:09:34,510 to run it. 1086 01:09:34,510 --> 01:09:36,569 And the DIF can only fund one of those two. 1087 01:09:36,569 --> 01:09:38,690 An entirely different funding source 1088 01:09:38,690 --> 01:09:40,550 is necessary to pay for the operations. 1089 01:09:40,550 --> 01:09:42,310 And so that, I think, is something 1090 01:09:42,310 --> 01:09:45,270 that would be a much larger project to take a look at. 1091 01:09:45,270 --> 01:09:48,569 And the childcare fees can't go to assist the Boys & Girls Club. 1092 01:09:48,569 --> 01:09:54,550 It wouldn't be the proper use or dedicated use for the monies 1093 01:09:54,550 --> 01:09:57,390 we have currently or monies we would collect in the future 1094 01:09:57,390 --> 01:10:01,630 because I'm not sure legally what the difference is 1095 01:10:01,630 --> 01:10:03,470 between the fees that we've been collecting 1096 01:10:03,470 --> 01:10:05,910 and any appropriations to the Boys & Girls Club 1097 01:10:05,910 --> 01:10:08,870 since it is a childcare facility, which 1098 01:10:08,870 --> 01:10:11,870 is owned by the city. 1099 01:10:13,110 --> 01:10:16,330 Yeah, there may be some limited application there, 1100 01:10:16,330 --> 01:10:19,790 but I guess as part of an ongoing fee 1101 01:10:19,790 --> 01:10:22,710 that you're collecting that may or may not 1102 01:10:22,710 --> 01:10:28,710 have that viable capital use, it's a little bit different. 1103 01:10:29,230 --> 01:10:31,830 And that was part of the challenge in evaluating this, 1104 01:10:31,830 --> 01:10:34,830 whether that might be appropriate. 1105 01:10:36,800 --> 01:10:40,150 And again, in trying to figure out ways as part 1106 01:10:40,150 --> 01:10:42,670 the underlying theme, trying to be 1107 01:10:42,670 --> 01:10:45,430 competitive in the space with our fees. 1108 01:10:45,430 --> 01:10:49,790 And occasionally, we have situations where we reduce 1109 01:10:49,790 --> 01:10:52,590 or eliminate a fee, of course. 1110 01:10:52,590 --> 01:10:55,110 This was one that we haven't. 1111 01:10:55,110 --> 01:10:58,350 We've continued to collect it because it's on the books, 1112 01:10:58,350 --> 01:11:01,710 and we haven't had a good application for it still. 1113 01:11:01,710 --> 01:11:06,150 So it's been a challenge still having this here. 1114 01:11:06,150 --> 01:11:10,110 And the original intent tied to that nexus study 1115 01:11:10,110 --> 01:11:12,950 from well over 20 years ago, even, 1116 01:11:12,950 --> 01:11:17,270 it doesn't exist anymore for what it was originally intended 1117 01:11:17,270 --> 01:11:18,830 to cover, which it did help. 1118 01:11:18,830 --> 01:11:25,110 Can I propose that we ask staff to put this maybe 1119 01:11:25,110 --> 01:11:27,770 on our next strategic plan discussion? 1120 01:11:27,770 --> 01:11:31,390 Because it's clear the council is interested in childcare. 1121 01:11:31,390 --> 01:11:33,750 I don't think that it's appropriate for us 1122 01:11:33,750 --> 01:11:36,470 to be concerned about childcare infrastructure 1123 01:11:36,470 --> 01:11:39,530 as part of the development fee discussion 1124 01:11:39,530 --> 01:11:43,870 because I think it's very clear that we 1125 01:11:43,870 --> 01:11:45,700 don't know what we want to do. 1126 01:11:45,700 --> 01:11:48,320 So to be collecting fees for something 1127 01:11:48,320 --> 01:11:51,830 that we don't know what we're doing doesn't seem appropriate. 1128 01:11:51,830 --> 01:11:53,000 And I think it's very appropriate to eliminate 1129 01:11:53,000 --> 01:11:54,792 the childcare facility fee. 1130 01:11:54,792 --> 01:11:57,000 And if we can make sure that we always use the phrase 1131 01:11:57,000 --> 01:11:59,380 childcare facility fee instead of childcare fee 1132 01:11:59,380 --> 01:12:02,160 because it goes to what you were saying, 1133 01:12:02,160 --> 01:12:04,360 but can we have staff maybe bring 1134 01:12:04,360 --> 01:12:07,945 that back as part of maybe an upcoming evaluation 1135 01:12:07,945 --> 01:12:10,320 of the strategic plan under the community health, safety, 1136 01:12:10,320 --> 01:12:11,180 and well-being? 1137 01:12:11,180 --> 01:12:12,880 And if there's ways that we can evaluate 1138 01:12:12,880 --> 01:12:15,260 supporting childcare infrastructure in the future, 1139 01:12:15,260 --> 01:12:16,843 because that's what you're getting at. 1140 01:12:16,843 --> 01:12:18,480 That's what you want on the long term. 1141 01:12:18,480 --> 01:12:21,560 We have spent a lot of money on the Boys & Girls 1142 01:12:21,560 --> 01:12:23,560 Club infrastructure improvements, 1143 01:12:23,600 --> 01:12:25,320 thousands, millions. 1144 01:12:25,320 --> 01:12:29,800 So is there a way that we can capitalize on some of these fees 1145 01:12:29,800 --> 01:12:30,500 to help that? 1146 01:12:30,500 --> 01:12:32,920 Because we didn't use these types of fees for those 1147 01:12:32,920 --> 01:12:36,200 they came out of either ARPA or general fund. 1148 01:12:36,200 --> 01:12:36,640 Yeah. 1149 01:12:36,640 --> 01:12:39,240 If you don't mind, Michael and Mike, 1150 01:12:39,240 --> 01:12:42,767 looking into that before we do the refund exercise, 1151 01:12:42,767 --> 01:12:44,600 check to see whether or not the Boys & Girls 1152 01:12:44,600 --> 01:12:47,400 Club could be a potential recipient, that would be great. 1153 01:12:47,400 --> 01:12:50,200 Yeah, and then we can discuss childcare, just 1154 01:12:50,200 --> 01:12:52,440 general infrastructure improvements to it 1155 01:12:52,440 --> 01:12:56,640 in Martinez moving forward at the future. 1156 01:12:58,760 --> 01:13:01,520 Just by a nod of heads, everyone OK with expanding 1157 01:13:01,520 --> 01:13:03,680 cultural facilities to include art? 1158 01:13:03,680 --> 01:13:04,200 Yeah. 1159 01:13:04,200 --> 01:13:05,100 That's OK? 1160 01:13:05,100 --> 01:13:05,600 Yep. 1161 01:13:05,600 --> 01:13:09,380 Up until this point, we've never had any fund for public art, 1162 01:13:09,380 --> 01:13:11,720 so this would be a really great opportunity 1163 01:13:11,720 --> 01:13:13,520 to use some of the cultural fees-- 1164 01:13:13,520 --> 01:13:17,200 facility fees moving forward for any city-sponsored art 1165 01:13:17,200 --> 01:13:18,960 installations. 1166 01:13:18,960 --> 01:13:23,760 And then the phasing of the development fees 1167 01:13:26,520 --> 01:13:29,180 feels like the easiest discussion, 1168 01:13:29,180 --> 01:13:31,780 but I don't feel strongly one way or the other. 1169 01:13:31,780 --> 01:13:34,465 And I feel like it more should correlate 1170 01:13:34,465 --> 01:13:35,840 to whatever we decide the answers 1171 01:13:35,840 --> 01:13:39,220 to the first and last bullets are. 1172 01:13:39,220 --> 01:13:41,180 Yeah, I guess that's my question. 1173 01:13:41,180 --> 01:13:45,600 I hate to go back to these fee comparisons per unit. 1174 01:13:45,600 --> 01:13:48,340 So we've done our full cost recovery. 1175 01:13:48,340 --> 01:13:50,220 We have that. 1176 01:13:50,220 --> 01:13:56,220 But looking at the cities that we are benchmarking against, 1177 01:13:56,680 --> 01:14:00,280 these do not include their full cost recovery 1178 01:14:00,280 --> 01:14:02,200 because we don't know that. 1179 01:14:02,200 --> 01:14:05,800 But assuming that they did theirs, 1180 01:14:06,960 --> 01:14:09,960 theirs would probably be increased. 1181 01:14:10,200 --> 01:14:12,420 So we're still lagging. 1182 01:14:13,903 --> 01:14:15,320 Well, it depends on whether or not 1183 01:14:15,320 --> 01:14:20,800 you think lagging is good or bad because I would argue it's good. 1184 01:14:20,800 --> 01:14:24,120 Even at full cost recovery, we will still 1185 01:14:24,120 --> 01:14:26,520 be trailing the cities. 1186 01:14:26,660 --> 01:14:31,760 And so what I'm saying is with a full cost recovery for us 1187 01:14:31,760 --> 01:14:37,340 and we are still trailing, that is probably a good look for us. 1188 01:14:37,340 --> 01:14:37,840 Yeah. 1189 01:14:37,840 --> 01:14:40,240 If development attracting development 1190 01:14:41,160 --> 01:14:43,100 is what we're going for, it's OK. 1191 01:14:43,100 --> 01:14:44,440 And this is our number. 1192 01:14:44,440 --> 01:14:45,500 Yeah, or less. 1193 01:14:45,500 --> 01:14:48,470 I mean, full cost recovery, again, is the highest marker. 1194 01:14:48,470 --> 01:14:49,380 Yeah, that's the highest marker. 1195 01:14:49,380 --> 01:14:53,520 We have the ability to raise it some smaller percentage. 1196 01:14:53,520 --> 01:14:56,140 And I think it is a good look for us, particularly-- 1197 01:14:56,140 --> 01:14:58,800 I think it's very important to remember 1198 01:14:58,800 --> 01:15:01,720 that we're not the only ones looking at these cost 1199 01:15:01,720 --> 01:15:02,500 comparisons. 1200 01:15:02,500 --> 01:15:05,780 It's the developers that do this exact same thing. 1201 01:15:05,780 --> 01:15:06,280 Absolutely. 1202 01:15:06,280 --> 01:15:06,580 Right. 1203 01:15:06,580 --> 01:15:08,800 And so that's where I would really 1204 01:15:08,800 --> 01:15:11,400 like us to be able to say, we are lowering our fees 1205 01:15:11,400 --> 01:15:13,162 and stand out that way. 1206 01:15:13,162 --> 01:15:14,620 Well, I don't want to say lowering. 1207 01:15:14,620 --> 01:15:19,400 I just want to say we are maximizing 1208 01:15:19,400 --> 01:15:22,400 our fees in comparison to-- 1209 01:15:24,360 --> 01:15:26,360 Well, we will be lowering our fees because we're 1210 01:15:26,360 --> 01:15:28,360 eliminating childcare fees. 1211 01:15:28,800 --> 01:15:31,720 And we will be doing other things 1212 01:15:31,720 --> 01:15:34,720 like reducing the ADU fees. 1213 01:15:34,740 --> 01:15:37,420 If we agree on that, that would be lowering it. 1214 01:15:37,420 --> 01:15:40,530 And then I'd like to see the single-family per-unit fees 1215 01:15:40,530 --> 01:15:43,530 lowered from $14,000, which is existing, 1216 01:15:44,170 --> 01:15:49,350 to be closer to Hercules so it's more like $13,000. 1217 01:15:49,350 --> 01:15:53,590 Yeah, based on this, we don't have to lower our fees. 1218 01:15:53,590 --> 01:15:54,590 I just want to be clear. 1219 01:15:54,590 --> 01:15:56,530 We don't have to lower fees. 1220 01:15:56,530 --> 01:15:58,500 That's what I'm advocating for. 1221 01:15:58,500 --> 01:15:58,990 But we don't have to. 1222 01:15:58,990 --> 01:15:59,410 Yeah. 1223 01:15:59,410 --> 01:16:01,630 We don't have to, but that's what we're here to discuss. 1224 01:16:01,630 --> 01:16:03,170 And I think it's important that that 1225 01:16:03,170 --> 01:16:06,550 is what is seen by developers when they go, 1226 01:16:06,550 --> 01:16:10,330 should I go to Pleasant Hill, Hercules, Benicia, or Concord? 1227 01:16:10,330 --> 01:16:10,830 Look what. 1228 01:16:10,830 --> 01:16:11,490 Martinez-- 1229 01:16:11,490 --> 01:16:12,830 If you look at the totality-- 1230 01:16:12,830 --> 01:16:15,490 Can I have Michael-- do you want to provide-- 1231 01:16:15,490 --> 01:16:19,470 Yeah, so this is an obvious statement, 1232 01:16:19,470 --> 01:16:22,170 but I think it's important to say. 1233 01:16:22,170 --> 01:16:27,770 So I do think full cost recovery is somewhat misleading 1234 01:16:27,770 --> 01:16:31,250 because it's cost recovery assuming we actually 1235 01:16:31,250 --> 01:16:33,250 have development happen. 1236 01:16:33,290 --> 01:16:36,130 If we don't have development happen, 1237 01:16:36,130 --> 01:16:38,770 the fees can be as high as we want. 1238 01:16:38,770 --> 01:16:41,610 We won't actually bring in any money. 1239 01:16:41,610 --> 01:16:46,410 And so it is about balance, and it 1240 01:16:47,530 --> 01:16:53,190 is about setting them at a rate where we see development. 1241 01:16:53,190 --> 01:16:53,690 So we-- 1242 01:16:53,690 --> 01:16:55,110 It's all perception, right? 1243 01:16:55,110 --> 01:16:56,170 Correct. 1244 01:16:56,170 --> 01:16:56,970 Yeah. 1245 01:16:56,970 --> 01:16:59,570 It's about what is perceived. 1246 01:16:59,570 --> 01:17:01,610 If we're perceived to be lowering our fees, 1247 01:17:01,610 --> 01:17:03,700 then we will look better. 1248 01:17:03,700 --> 01:17:03,570 Correct. 1249 01:17:03,570 --> 01:17:07,650 And I also think it's important to note 1250 01:17:07,650 --> 01:17:11,250 we are competitive with Benicia currently. 1251 01:17:13,130 --> 01:17:16,890 And, Jay, we don't always have to charge 1252 01:17:16,890 --> 01:17:19,350 the highest amount of the fees, as we had mentioned. 1253 01:17:19,350 --> 01:17:24,590 And we can have the charges lessened if we choose to. 1254 01:17:24,590 --> 01:17:26,290 But this is the highest. 1255 01:17:26,290 --> 01:17:28,830 So you can choose to have them lower. 1256 01:17:28,830 --> 01:17:29,330 Correct. 1257 01:17:29,330 --> 01:17:30,530 Yeah. 1258 01:17:30,530 --> 01:17:32,410 I would like Council Member Young 1259 01:17:32,410 --> 01:17:36,873 to try to convince me more along what you have been-- 1260 01:17:36,873 --> 01:17:39,290 you were looking very frustrated in saying that you do not 1261 01:17:39,290 --> 01:17:40,550 want to lower the fees. 1262 01:17:40,550 --> 01:17:46,410 I'm very supportive of waiving impact fees for a short duration 1263 01:17:46,410 --> 01:17:51,850 as we're trying to spur growth and development in Martinez. 1264 01:17:51,850 --> 01:17:54,710 And that seemed to very much not excite you. 1265 01:17:54,710 --> 01:17:56,910 Can you elaborate on that? 1266 01:17:56,910 --> 01:17:58,570 And what would you be comfortable 1267 01:17:58,570 --> 01:18:00,830 with along these discussions? 1268 01:18:00,830 --> 01:18:02,730 The idea of lowering fees versus-- 1269 01:18:02,730 --> 01:18:07,530 to me, waiving fees is a temporary incentive. 1270 01:18:08,570 --> 01:18:10,950 Keeping them low and not raising them, 1271 01:18:10,950 --> 01:18:12,570 that becomes a permanent incentive. 1272 01:18:12,570 --> 01:18:18,900 Again, I'm just looking at based on full recovery cost, 1273 01:18:18,900 --> 01:18:22,470 we are still trailing our sister cities, even if we max out, 1274 01:18:22,470 --> 01:18:24,410 unless I'm missing something. 1275 01:18:24,410 --> 01:18:25,440 What number is lagging? 1276 01:18:25,440 --> 01:18:29,640 Can you clarify what you're talking about? 1277 01:18:31,810 --> 01:18:36,610 I am looking at our fee comparison of $24,227. 1278 01:18:39,250 --> 01:18:43,450 And again, looking at our comparison cities, 1279 01:18:43,610 --> 01:18:47,210 these aren't their updated numbers, right? 1280 01:18:49,290 --> 01:18:51,450 We're not sure, are we? 1281 01:18:51,450 --> 01:18:52,910 They're current numbers. 1282 01:18:52,910 --> 01:18:56,530 So what I'm hearing Council Member Young say is 1283 01:18:56,530 --> 01:19:00,100 for single-family homes, using that as an example, currently, 1284 01:19:00,100 --> 01:19:03,510 we charge about $14,000 in development impact fees. 1285 01:19:03,510 --> 01:19:08,450 If we set the fee based on the nexus study and analysis that 1286 01:19:08,450 --> 01:19:12,970 has currently been done, they could go up to about $24,000. 1287 01:19:12,970 --> 01:19:17,770 $24,000 is still $2,000 less than what Benicia currently has. 1288 01:19:19,930 --> 01:19:20,450 Exactly. 1289 01:19:20,450 --> 01:19:24,650 But to clarify, it is significantly higher. 1290 01:19:24,730 --> 01:19:27,130 It's 200% more than Hercules. 1291 01:19:30,980 --> 01:19:34,450 $24,000 to $12,000, that is very much not lagging. 1292 01:19:34,450 --> 01:19:34,920 But wait, wait, wait. 1293 01:19:34,920 --> 01:19:38,720 That's because they don't have parkland dedication fees. 1294 01:19:38,720 --> 01:19:42,320 They don't have marina and waterfront. 1295 01:19:42,420 --> 01:19:43,220 Yes, exactly. 1296 01:19:43,220 --> 01:19:46,980 The reason that it is cheaper to build in Hercules 1297 01:19:46,980 --> 01:19:48,675 is because they have fewer developments. 1298 01:19:48,675 --> 01:19:49,800 That's what we're talking-- 1299 01:19:49,800 --> 01:19:53,600 And so are we saying they aren't going through the same process 1300 01:19:53,600 --> 01:19:56,520 that we're going through in looking at full recovery, 1301 01:19:56,520 --> 01:19:59,400 but they don't have different categories like public safety? 1302 01:19:59,400 --> 01:20:02,590 Or am I assuming that they're going-- 1303 01:20:02,590 --> 01:20:03,840 We're not required to do this. 1304 01:20:03,840 --> 01:20:08,200 So we're looking at fees at a point in time. 1305 01:20:08,200 --> 01:20:11,100 Every jurisdiction is on their own schedule with when 1306 01:20:11,100 --> 01:20:12,680 those fees will be updated. 1307 01:20:12,680 --> 01:20:15,340 So we could do an update now and set ourselves 1308 01:20:15,340 --> 01:20:16,880 at a particular point. 1309 01:20:16,880 --> 01:20:18,820 And then one of these other jurisdictions 1310 01:20:18,820 --> 01:20:22,600 could turn around and, a couple months later, change their fees. 1311 01:20:22,600 --> 01:20:23,100 So-- 1312 01:20:23,100 --> 01:20:24,580 It could go either way. 1313 01:20:24,580 --> 01:20:25,433 --it could go either way. 1314 01:20:25,433 --> 01:20:27,600 And to answer the question that's inherent in there, 1315 01:20:27,600 --> 01:20:32,500 there is no required timeline to update these fees. 1316 01:20:32,500 --> 01:20:34,220 OK. 1317 01:20:34,220 --> 01:20:35,420 OK. 1318 01:20:35,420 --> 01:20:38,420 It feels like the pay for police officers, every time we 1319 01:20:38,420 --> 01:20:39,988 hit this mark, they go to here. 1320 01:20:39,988 --> 01:20:41,280 We go to here, they go to here. 1321 01:20:41,280 --> 01:20:44,200 So it's always jockeying back and forth. 1322 01:20:44,200 --> 01:20:45,860 Which is why we would do the nexus 1323 01:20:45,860 --> 01:20:48,360 study, which would set the maximum that they could be at. 1324 01:20:48,360 --> 01:20:51,960 And we can periodically modify what 1325 01:20:52,600 --> 01:20:55,860 our rates are based on our regular and routine updates 1326 01:20:55,860 --> 01:20:57,725 to our user fee schedules. 1327 01:20:57,725 --> 01:20:59,100 And I think another thing we have 1328 01:20:59,100 --> 01:21:02,420 to remember this is short term. 1329 01:21:02,420 --> 01:21:04,800 It's not forever. 1330 01:21:04,800 --> 01:21:08,760 And we can use these, what does come in, and we can gauge those. 1331 01:21:08,760 --> 01:21:09,560 This one works. 1332 01:21:09,560 --> 01:21:10,270 This one doesn't. 1333 01:21:10,270 --> 01:21:12,520 This one needs to be modified and needs to be lowered, 1334 01:21:12,520 --> 01:21:14,977 or this one needs to be raised by what has worked, 1335 01:21:14,977 --> 01:21:17,600 what has brought in revenue, what has brought in-- 1336 01:21:17,600 --> 01:21:22,400 So based on this scenario and this education, thank you. 1337 01:21:22,400 --> 01:21:26,100 I would say we stay at the $14,000. 1338 01:21:26,100 --> 01:21:27,480 I don't want to move that. 1339 01:21:27,480 --> 01:21:32,280 I do not want to waive or lower. 1340 01:21:34,200 --> 01:21:37,280 We are getting near the end of the workshop. 1341 01:21:37,280 --> 01:21:39,770 And I just realized I hadn't opened 1342 01:21:39,770 --> 01:21:40,160 this up to public comment. 1343 01:21:40,160 --> 01:21:42,188 I apologize for those of you who are here. 1344 01:21:42,188 --> 01:21:43,980 Would anyone like to provide public comment 1345 01:21:43,980 --> 01:21:45,120 on this discussion? 1346 01:21:45,120 --> 01:21:47,520 Craig, come on up. 1347 01:21:56,100 --> 01:21:59,540 All right, I really enjoyed this discussion, a very important 1348 01:21:59,540 --> 01:22:02,460 discussion, and really glad to hear the sentiment 1349 01:22:02,460 --> 01:22:05,420 on the council seems to be toward doing 1350 01:22:05,420 --> 01:22:09,200 what we need to do with these fees to stimulate development 1351 01:22:09,200 --> 01:22:10,900 and to help solve our housing crisis 1352 01:22:10,900 --> 01:22:13,140 or address it in a meaningful way, which I think 1353 01:22:13,140 --> 01:22:16,860 is an important dynamic because I don't think we would have 1354 01:22:16,860 --> 01:22:19,600 necessarily heard that four years ago or eight years ago. 1355 01:22:19,600 --> 01:22:22,820 And I think it indicates how the political winds on this issue 1356 01:22:22,820 --> 01:22:24,820 are changing. 1357 01:22:27,240 --> 01:22:30,260 I wanted to suggest off the top about this issue of waiving 1358 01:22:30,260 --> 01:22:34,120 fees versus lowering fees, we need affordable housing. 1359 01:22:34,120 --> 01:22:36,120 We need a low-income housing more than anything, 1360 01:22:36,120 --> 01:22:38,600 and that's the toughest housing to build. 1361 01:22:38,600 --> 01:22:42,260 I would suggest waiving the development fees 1362 01:22:42,500 --> 01:22:45,200 for any projects that hit a certain threshold 1363 01:22:45,200 --> 01:22:47,960 of affordable housing that goes beyond the minimum 1364 01:22:47,960 --> 01:22:50,700 because to the extent that we're getting any development going 1365 01:22:50,700 --> 01:22:53,780 at all in the city, which is very little, 1366 01:22:53,780 --> 01:22:56,700 it tends to be the bare minimum, the 20%. 1367 01:22:56,700 --> 01:23:00,900 If we can get 100% affordable unit project 1368 01:23:01,140 --> 01:23:03,660 in Martinez, which could be a real game changer, which we're 1369 01:23:03,660 --> 01:23:07,460 seeing in some other cities, we should definitely waive the fees 1370 01:23:07,460 --> 01:23:09,500 if that will make it happen. 1371 01:23:09,500 --> 01:23:12,420 That could make a huge dent in this issue. 1372 01:23:12,420 --> 01:23:14,920 I think this fixation on comparisons, 1373 01:23:14,920 --> 01:23:18,380 where we stand comparing to other jurisdictions, 1374 01:23:18,380 --> 01:23:22,420 is a bit of a distraction because the reality is 1375 01:23:22,420 --> 01:23:24,430 we're not getting the development we need 1376 01:23:24,430 --> 01:23:27,830 with the fees where they're at. 1377 01:23:27,830 --> 01:23:30,700 Almost all of our affordable housing growth 1378 01:23:30,700 --> 01:23:31,630 is in ADUs right now. 1379 01:23:31,630 --> 01:23:34,930 We're not getting developers to come to Martinez. 1380 01:23:34,930 --> 01:23:37,850 It doesn't matter where we stand compared to Benicia, 1381 01:23:37,850 --> 01:23:39,850 Pleasant Hill, Hercules. 1382 01:23:39,910 --> 01:23:43,110 We're not getting people to come to Martinez. 1383 01:23:43,110 --> 01:23:46,790 And we can't solve the housing crisis that way. 1384 01:23:46,790 --> 01:23:49,970 OK, so if waiving them will get people to come to Martinez, 1385 01:23:49,970 --> 01:23:51,350 we definitely should do it. 1386 01:23:51,350 --> 01:23:54,150 I also want to push back-- 1387 01:23:54,150 --> 01:23:58,910 sorry, Councilman Young-- a bit on some of your comments 1388 01:23:58,910 --> 01:24:02,510 about cost recovery and the burden 1389 01:24:04,190 --> 01:24:07,450 that new population growth puts on the city. 1390 01:24:07,450 --> 01:24:09,470 I don't think that's always the case. 1391 01:24:09,470 --> 01:24:12,390 Look at the amount of resources our police department 1392 01:24:12,390 --> 01:24:14,950 uses on issues regarding the unhoused. 1393 01:24:14,950 --> 01:24:18,590 The unhoused is an extension of the housing crisis. 1394 01:24:18,590 --> 01:24:23,390 If we built more affordable, very low-income housing 1395 01:24:23,830 --> 01:24:27,700 and could put a dent in the homeless issue, 1396 01:24:27,700 --> 01:24:29,550 that would take a burden off the police. 1397 01:24:29,550 --> 01:24:32,730 That wouldn't add to the police's burden. 1398 01:24:32,730 --> 01:24:35,150 That would take a burden off them. 1399 01:24:35,150 --> 01:24:36,710 Transportation, if we could make it 1400 01:24:36,710 --> 01:24:40,370 so that more people could work where they live, 1401 01:24:40,370 --> 01:24:42,310 could live in Martinez instead of having 1402 01:24:42,310 --> 01:24:45,990 to commute in and out of Martinez all the time, that 1403 01:24:45,990 --> 01:24:50,790 could take a burden off our transportation infrastructure. 1404 01:24:52,300 --> 01:24:54,650 As far as young families coming into Martinez, 1405 01:24:54,650 --> 01:24:57,182 I don't see the data to support that. 1406 01:24:57,182 --> 01:24:59,390 The last data I saw from the Martinez School District 1407 01:24:59,390 --> 01:25:03,590 was that student enrollment is down 9% or 10% 1408 01:25:03,630 --> 01:25:05,700 since the pandemic. 1409 01:25:05,700 --> 01:25:07,570 So maybe we're seeing anecdotal evidence, 1410 01:25:07,570 --> 01:25:09,100 but I'm not seeing the data. 1411 01:25:09,100 --> 01:25:10,350 If you have data, I don't think people-- 1412 01:25:10,350 --> 01:25:10,850 Time's up. 1413 01:25:10,850 --> 01:25:12,870 --can afford to live in places like Martinez. 1414 01:25:12,870 --> 01:25:14,870 Thank you. 1415 01:25:15,150 --> 01:25:15,890 Thanks, Craig. 1416 01:25:15,890 --> 01:25:19,390 Just one quick data point on the school district. 1417 01:25:19,390 --> 01:25:21,670 They did say enrollment is down, but when 1418 01:25:21,670 --> 01:25:24,770 they're taking into account TK students, 1419 01:25:24,770 --> 01:25:26,550 it's ticking back up again. 1420 01:25:26,550 --> 01:25:28,420 But-- 1421 01:25:28,420 --> 01:25:29,250 I'll take a look at the data. 1422 01:25:29,250 --> 01:25:31,250 Sure. 1423 01:25:31,790 --> 01:25:33,730 Anyone else in the room this evening 1424 01:25:33,730 --> 01:25:36,390 who'd like to provide public comment on our workshop 1425 01:25:36,390 --> 01:25:38,390 discussion tonight? 1426 01:25:40,145 --> 01:25:41,770 OK, thank you, Craig, for the comments. 1427 01:25:41,770 --> 01:25:42,790 We appreciate it. 1428 01:25:42,790 --> 01:25:44,670 OK, let's bring it back. 1429 01:25:44,670 --> 01:25:46,730 Oh, I'm so sorry. 1430 01:25:46,730 --> 01:25:48,900 Yes, right. 1431 01:25:48,900 --> 01:25:49,470 Do we have people online? 1432 01:25:49,470 --> 01:25:50,210 I have someone. 1433 01:25:50,210 --> 01:25:51,710 So if that person would like to make 1434 01:25:51,710 --> 01:25:53,910 a public comment on this item, please use the Raise Hand 1435 01:25:53,910 --> 01:25:55,910 feature. 1436 01:25:59,927 --> 01:26:01,100 All right, I have no hand. 1437 01:26:01,100 --> 01:26:01,510 No hands? 1438 01:26:01,510 --> 01:26:02,470 OK, great. 1439 01:26:02,470 --> 01:26:06,630 All right, so for the last 15 minutes of this meeting, 1440 01:26:06,630 --> 01:26:08,890 I'd love to get some thoughts. 1441 01:26:08,890 --> 01:26:13,230 I feel like we came in with our opinions 1442 01:26:13,230 --> 01:26:16,830 on the benchmarking and the waiver, 1443 01:26:17,570 --> 01:26:20,720 and I'm not sure we've convinced each other necessarily 1444 01:26:20,720 --> 01:26:22,720 through this discussion. 1445 01:26:22,720 --> 01:26:26,560 So maybe how about we go just down the line and just 1446 01:26:26,560 --> 01:26:29,340 provide some thoughts on that first and last bullet? 1447 01:26:29,340 --> 01:26:33,540 So just on benchmarking and potential waiving. 1448 01:26:37,120 --> 01:26:39,360 Do you want to start, Jay? 1449 01:26:39,360 --> 01:26:40,000 Go ahead. 1450 01:26:40,000 --> 01:26:41,800 Go ahead. 1451 01:26:41,800 --> 01:26:42,800 Oh, I see. 1452 01:26:42,800 --> 01:26:42,580 Got it. 1453 01:26:42,580 --> 01:26:45,580 Yeah, why don't you start? 1454 01:26:49,462 --> 01:26:50,920 We're in the middle of the meeting, 1455 01:26:50,920 --> 01:26:53,560 so you can come back when we're done with this meeting. 1456 01:26:53,560 --> 01:26:55,567 We're having a meeting now. 1457 01:26:55,567 --> 01:26:57,900 We do start at 7:00, but we're having a workshop before, 1458 01:26:57,900 --> 01:26:59,640 so if you don't-- 1459 01:26:59,640 --> 01:27:00,460 yeah, OK. 1460 01:27:00,460 --> 01:27:02,320 Thank you. 1461 01:27:02,320 --> 01:27:08,320 OK, for benchmarking, I do know that different cities have 1462 01:27:08,640 --> 01:27:11,420 different needs and resources, different opportunity zones, 1463 01:27:11,420 --> 01:27:14,140 a whole bunch of different things, marinas, no marinas. 1464 01:27:14,140 --> 01:27:16,300 So it's hard to gauge a benchmark, 1465 01:27:16,300 --> 01:27:20,520 but I would like to see us at least in the middle section 1466 01:27:20,520 --> 01:27:23,760 of the comparison if we were comparing. 1467 01:27:23,760 --> 01:27:25,760 And then just to answer the question 1468 01:27:25,760 --> 01:27:28,420 because I didn't do that, I'm good with the second question. 1469 01:27:28,420 --> 01:27:31,540 I like to phase it in 75/25 if we get to that point 1470 01:27:31,540 --> 01:27:34,400 because that's what we've been utilizing in the past for any 1471 01:27:34,400 --> 01:27:35,960 fees that we've adopted. 1472 01:27:35,960 --> 01:27:37,600 And then let's see. 1473 01:27:37,600 --> 01:27:39,980 The last one for the ADUs, last question, 1474 01:27:39,980 --> 01:27:43,920 yeah, I am definitely in support of waiving the fees for ADUs 1475 01:27:43,920 --> 01:27:46,640 that are over 750 square feet. 1476 01:27:46,640 --> 01:27:48,512 And I don't know what the maximum is, 1477 01:27:48,512 --> 01:27:50,720 but we can discuss that at a future meeting, whatever 1478 01:27:50,720 --> 01:27:54,100 the maximum square feet is for an ADU. 1479 01:27:54,100 --> 01:27:56,820 Is it 500 or 1,200 or something? 1480 01:27:56,820 --> 01:27:59,920 The maximum size of ADUs as per our ordinance is 1,200 square 1481 01:27:59,920 --> 01:28:00,720 feet. 1482 01:28:00,720 --> 01:28:04,980 OK, so I would definitely consider waiving some of those. 1483 01:28:04,980 --> 01:28:09,280 But I definitely do feel that we should, 1484 01:28:09,280 --> 01:28:11,600 if we come to a consensus, really 1485 01:28:11,600 --> 01:28:16,120 try to attract act developers so that these fees would actually 1486 01:28:16,120 --> 01:28:16,740 be collected. 1487 01:28:16,740 --> 01:28:18,120 If we don't have a development, there's 1488 01:28:18,120 --> 01:28:19,600 no fees that are being collected. 1489 01:28:19,600 --> 01:28:21,920 And in particular, trying to incentivize 1490 01:28:21,920 --> 01:28:24,385 the low-income housing component because I think 1491 01:28:24,385 --> 01:28:25,760 there's a lot of people out there 1492 01:28:25,760 --> 01:28:27,520 that are in need of housing. 1493 01:28:27,520 --> 01:28:29,560 And low-income housing is housing 1494 01:28:29,560 --> 01:28:32,500 that would be for a teacher or for a student. 1495 01:28:32,500 --> 01:28:35,000 These are people that are holding 1496 01:28:35,000 --> 01:28:37,520 jobs that really can't afford housing because things 1497 01:28:37,520 --> 01:28:38,720 are so expensive. 1498 01:28:38,720 --> 01:28:43,280 So I would definitely support that as well. 1499 01:28:43,280 --> 01:28:45,280 So next. 1500 01:28:48,230 --> 01:28:48,980 Do you want to go? 1501 01:28:48,980 --> 01:28:49,855 Do you want me to go? 1502 01:28:49,855 --> 01:28:50,540 You can go. 1503 01:28:50,540 --> 01:28:55,940 All right, so I support middle or lower end. 1504 01:28:56,260 --> 01:29:00,000 I also recognize that benchmarking to our other cities 1505 01:29:00,000 --> 01:29:02,880 is somewhat misleading, and so I'm not sure. 1506 01:29:02,880 --> 01:29:05,440 I don't think that should be our priority. 1507 01:29:05,440 --> 01:29:09,800 I appreciate your comment that other user fee schedules do 1508 01:29:09,800 --> 01:29:10,530 75/25. 1509 01:29:10,530 --> 01:29:11,720 That's a perfectly fine way of doing it. 1510 01:29:11,720 --> 01:29:12,312 No problem. 1511 01:29:12,312 --> 01:29:14,520 And then I'm just going to reiterate that I very much 1512 01:29:14,520 --> 01:29:16,680 support waiving impact fees. 1513 01:29:16,680 --> 01:29:21,660 So I support waiving impact fees for ADUs over 750. 1514 01:29:21,660 --> 01:29:24,680 But I do want to acknowledge that just because ADUs 1515 01:29:24,680 --> 01:29:27,720 are the only thing that is being built, that means 1516 01:29:27,720 --> 01:29:29,760 that, why would we be incentivizing the one 1517 01:29:29,760 --> 01:29:31,385 thing that people are already building? 1518 01:29:31,385 --> 01:29:33,920 So I also want us to think about what other things 1519 01:29:33,920 --> 01:29:36,320 that we can incentivize. 1520 01:29:36,520 --> 01:29:38,920 You asked about multifamily. 1521 01:29:39,340 --> 01:29:42,240 And while I support multifamily, absolutely, I also 1522 01:29:42,240 --> 01:29:44,440 want us to think about smaller multifamily, 1523 01:29:44,440 --> 01:29:47,560 like duplexes and triplexes, because we've all 1524 01:29:47,560 --> 01:29:49,320 talked about how Martinez is basically-- 1525 01:29:49,320 --> 01:29:51,600 infill housing is what's left. 1526 01:29:51,600 --> 01:29:55,800 And so I don't want us to be incentivizing ADUs and then 1527 01:29:55,800 --> 01:29:56,840 really large complexes with nothing 1528 01:29:56,840 --> 01:29:59,560 in between because we might find that the best thing that we can 1529 01:29:59,560 --> 01:30:02,640 incentivize right now are some of the newer complexes 1530 01:30:02,640 --> 01:30:05,920 that have been built that have between 6 and 12 units, 1531 01:30:05,920 --> 01:30:06,980 something like that. 1532 01:30:06,980 --> 01:30:08,940 So I want us to think about that. 1533 01:30:08,940 --> 01:30:10,890 So I would love to see staff come back 1534 01:30:10,890 --> 01:30:14,890 with some suggestions and potential innovative solutions 1535 01:30:14,890 --> 01:30:17,730 for waiving for a short duration, maybe just 1536 01:30:17,730 --> 01:30:20,770 through the end of our housing element, 1537 01:30:20,770 --> 01:30:25,510 for some specific categories that we could incentivize. 1538 01:30:25,510 --> 01:30:28,650 And I also very much support the opportunity sites 1539 01:30:28,650 --> 01:30:29,550 that I mentioned. 1540 01:30:29,550 --> 01:30:31,835 I think we should absolutely include those. 1541 01:30:31,835 --> 01:30:33,210 That would incentivize the people 1542 01:30:33,210 --> 01:30:35,610 that have the great properties that are just 1543 01:30:35,610 --> 01:30:37,370 sitting there empty that they might be 1544 01:30:37,370 --> 01:30:39,770 interested in developing those. 1545 01:30:42,900 --> 01:30:43,650 Did that help? 1546 01:30:43,650 --> 01:30:44,530 Sure. 1547 01:30:44,530 --> 01:30:46,370 Go ahead. 1548 01:30:46,370 --> 01:30:49,650 So question one, looking at benchmark, 1549 01:30:49,650 --> 01:30:52,970 I support being in the middle. 1550 01:30:52,970 --> 01:30:57,170 Number two, I'm fine with the 75%, 25% approach. 1551 01:30:59,450 --> 01:31:06,500 And I am OK with waiving impact fees for ADUs over 750. 1552 01:31:07,130 --> 01:31:07,710 Let's see. 1553 01:31:07,710 --> 01:31:12,570 So for me, I would like to see us in the low end comparatively 1554 01:31:12,570 --> 01:31:14,570 to our peers. 1555 01:31:14,690 --> 01:31:17,250 I do like using the benchmark because I 1556 01:31:17,250 --> 01:31:21,130 believe developers use that benchmark to look at as well. 1557 01:31:21,130 --> 01:31:23,250 And I want us to shine. 1558 01:31:23,250 --> 01:31:25,170 When the developers are thinking about, 1559 01:31:25,170 --> 01:31:27,950 where should we go, I want them to see Martinez. 1560 01:31:27,950 --> 01:31:31,310 And I want them to see that we have recently lowered our fees, 1561 01:31:31,310 --> 01:31:33,970 so I would like to bring our fees down. 1562 01:31:33,970 --> 01:31:37,570 I do like the 75% to 25% schedule. 1563 01:31:40,850 --> 01:31:45,370 I absolutely support eliminating childcare fees for entities 1564 01:31:45,370 --> 01:31:47,810 that we don't even have anymore. 1565 01:31:47,810 --> 01:31:51,410 I 100% support childcare across the board. 1566 01:31:52,290 --> 01:31:54,630 But in this particular situation, 1567 01:31:54,630 --> 01:31:57,130 we no longer have that facility, so there's 1568 01:31:57,130 --> 01:32:00,890 no reason to charge fees for something we don't provide. 1569 01:32:00,890 --> 01:32:06,410 I do really support public art, and I think cultural facility 1570 01:32:06,410 --> 01:32:09,410 fees are OK for that. 1571 01:32:09,530 --> 01:32:13,730 I wouldn't mind waiving fees for ADUs. 1572 01:32:15,100 --> 01:32:16,890 I don't think that's a bad idea, but I 1573 01:32:16,890 --> 01:32:20,500 could be talked out of that. 1574 01:32:20,500 --> 01:32:22,330 And I think that covers it. 1575 01:32:22,330 --> 01:32:24,470 Do you support reducing or waiving fees? 1576 01:32:24,470 --> 01:32:28,700 Yes, I do support reducing fees. 1577 01:32:28,490 --> 01:32:29,590 Is that clear enough? 1578 01:32:29,590 --> 01:32:35,590 So, Jay, just to clarify, though, for me, reducing fees 1579 01:32:35,730 --> 01:32:38,210 is not the same thing as waiving. 1580 01:32:38,210 --> 01:32:40,970 And so how do you feel about waiving fees? 1581 01:32:40,970 --> 01:32:43,450 I was talking about other potential categories. 1582 01:32:43,450 --> 01:32:48,700 I feel that waiving fees addresses your concern. 1583 01:32:48,700 --> 01:32:50,390 How do you feel about that for more than just ADUs? 1584 01:32:50,390 --> 01:32:52,270 No, I think that that's very important, 1585 01:32:52,270 --> 01:32:55,610 but I would like to hear more information on what we would be 1586 01:32:55,610 --> 01:32:58,100 reducing fees for specifically. 1587 01:32:59,500 --> 01:33:01,210 I don't think it should be a blanket thing. 1588 01:33:01,210 --> 01:33:06,100 I do appreciate Greg's point that we still 1589 01:33:06,570 --> 01:33:11,370 have to be mindful of the general fund. 1590 01:33:12,450 --> 01:33:15,810 But I think it is important that-- 1591 01:33:15,810 --> 01:33:17,890 It's all about perception. 1592 01:33:17,890 --> 01:33:21,690 And so when these developers see this headline, 1593 01:33:21,690 --> 01:33:25,350 Martinez is reducing fees, I think that's important, 1594 01:33:25,350 --> 01:33:27,170 and it will catch their eye. 1595 01:33:27,170 --> 01:33:30,610 I think it's important that if we are doing benchmarks, 1596 01:33:30,610 --> 01:33:36,510 which I do support, I would like us to be just above Hercules. 1597 01:33:36,510 --> 01:33:40,810 So I would like to see our Martinez existing single-family 1598 01:33:40,810 --> 01:33:44,370 fee come down, and I wouldn't mind seeing it somewhere around 1599 01:33:44,370 --> 01:33:46,250 $13,000. 1600 01:33:46,250 --> 01:33:49,510 So if you want an exact number, there you go. 1601 01:33:49,510 --> 01:33:50,100 Great. 1602 01:33:50,100 --> 01:33:51,770 Go ahead. 1603 01:33:51,770 --> 01:33:54,450 OK, thank you very much. 1604 01:33:54,450 --> 01:33:59,850 So I would definitely feel like low to middle 1605 01:33:59,890 --> 01:34:02,300 is where we need to be. 1606 01:34:02,300 --> 01:34:04,780 I think we want to make ourselves as attractive as we 1607 01:34:04,780 --> 01:34:07,160 can in this regard. 1608 01:34:07,160 --> 01:34:09,180 But I also think it's critical for us 1609 01:34:09,180 --> 01:34:12,700 to think and look and see, the mayor referenced, 1610 01:34:12,700 --> 01:34:16,220 there are cities that have had a tremendous amount of success 1611 01:34:16,220 --> 01:34:19,220 in bringing new investment development 1612 01:34:20,540 --> 01:34:21,828 into their communities. 1613 01:34:21,828 --> 01:34:23,120 We ought to be looking at them. 1614 01:34:23,120 --> 01:34:24,560 What are they doing? 1615 01:34:24,560 --> 01:34:26,340 And I think she alluded to the fact 1616 01:34:26,340 --> 01:34:28,740 that one of the things that they did 1617 01:34:28,740 --> 01:34:33,540 was this targeted waiver, perhaps, of impact fees. 1618 01:34:36,380 --> 01:34:38,260 I don't necessarily know if it makes sense 1619 01:34:38,260 --> 01:34:41,900 across the board for every single project that would come. 1620 01:34:41,900 --> 01:34:45,240 Like Council Member Howard, I think it really just depends. 1621 01:34:45,240 --> 01:34:49,220 And I would want to get some more information. 1622 01:34:49,220 --> 01:34:52,380 For 100% affordable project, if that were to come to us 1623 01:34:52,380 --> 01:34:57,380 and if that's what it takes to get that project over the hump, 1624 01:34:57,380 --> 01:34:58,920 for sure, sign me up for that. 1625 01:34:58,920 --> 01:35:01,000 I think that makes a lot of sense. 1626 01:35:01,000 --> 01:35:02,800 Workforce housing? 1627 01:35:02,800 --> 01:35:03,220 Absolutely. 1628 01:35:03,220 --> 01:35:09,100 But if we have a project which is majority market rate and just 1629 01:35:09,100 --> 01:35:11,100 meets the bare minimum qualification 1630 01:35:11,100 --> 01:35:14,180 for affordable housing, that maybe I'm 1631 01:35:14,180 --> 01:35:16,320 going to be a little less hesitant on. 1632 01:35:16,320 --> 01:35:20,140 I think that there ought to be something 1633 01:35:20,140 --> 01:35:21,642 that needs to be brought in. 1634 01:35:21,642 --> 01:35:23,600 So I think it needs to be targeted in that way. 1635 01:35:23,600 --> 01:35:26,460 But I think we need to be looking at, rather 1636 01:35:26,460 --> 01:35:31,460 than the benchmark comparison, open it up and just 1637 01:35:31,460 --> 01:35:34,475 see what the cities in the Bay Area, 1638 01:35:34,475 --> 01:35:36,600 elsewhere in the state-- what have they been doing? 1639 01:35:36,600 --> 01:35:40,300 What are the tools that have brought them 1640 01:35:40,300 --> 01:35:43,200 some success in this area? 1641 01:35:43,200 --> 01:35:44,500 So that's what I would say. 1642 01:35:44,500 --> 01:35:48,300 As far as the last piece, yes, I'm 1643 01:35:48,300 --> 01:35:50,740 fine with that in terms of waiving them 1644 01:35:50,740 --> 01:35:53,740 for ADUs over 750 square feet. 1645 01:35:53,980 --> 01:35:56,000 Like I said, there's legislation, 1646 01:35:56,000 --> 01:36:00,860 as we talked about earlier, that may make this all a moot point 1647 01:36:00,860 --> 01:36:02,800 in the near future. 1648 01:36:02,800 --> 01:36:05,280 But if I'm being asked today, right now, 1649 01:36:05,280 --> 01:36:09,100 while that legislation is still pending, sure. 1650 01:36:09,100 --> 01:36:11,400 All right, we've got 1 and 1/2 minutes. 1651 01:36:11,400 --> 01:36:13,800 Any final 30-second comments? 1652 01:36:14,540 --> 01:36:17,180 I think it's really important that we remember this 1653 01:36:17,180 --> 01:36:18,640 doesn't have to be permanent. 1654 01:36:18,640 --> 01:36:20,400 It's a fluid situation. 1655 01:36:20,400 --> 01:36:24,400 And again, we can come back and revisit this in the near future, 1656 01:36:24,400 --> 01:36:27,700 and we can decide what's working and what's not. 1657 01:36:27,700 --> 01:36:30,860 Can staff summarize what we heard from the majority 1658 01:36:30,860 --> 01:36:33,140 of the city council? 1659 01:36:33,140 --> 01:36:37,600 OK, so what I heard from the majority of the city council 1660 01:36:37,600 --> 01:36:39,620 is looking at the low to mid-range 1661 01:36:39,620 --> 01:36:43,220 for the fees for staff, including 1662 01:36:46,500 --> 01:36:50,540 planning division, to work with the chief of police 1663 01:36:50,540 --> 01:36:52,660 and the Public Works director to look 1664 01:36:52,660 --> 01:36:54,780 at potential additional items that 1665 01:36:54,780 --> 01:36:58,460 could be included as part of the nexus fee study 1666 01:36:58,460 --> 01:37:01,460 that address public safety issues. 1667 01:37:02,100 --> 01:37:05,700 To eliminate the childcare facility fees, 1668 01:37:05,940 --> 01:37:09,620 but to look in the future at other ways to incentivize 1669 01:37:09,620 --> 01:37:12,940 and specifically look at the possibility of bringing back 1670 01:37:12,940 --> 01:37:15,600 a further childcare infrastructure 1671 01:37:15,600 --> 01:37:17,940 discussion as potentially part of the strategic plan 1672 01:37:17,940 --> 01:37:21,540 or another path that's deemed appropriate. 1673 01:37:22,940 --> 01:37:26,540 Prior to refunding the current fees 1674 01:37:30,200 --> 01:37:33,500 associated with the childcare facility fees, 1675 01:37:33,500 --> 01:37:36,940 for staff to relook at the possibility of potentially using 1676 01:37:36,940 --> 01:37:41,600 the remaining balance for the Boys & Girls Club. 1677 01:37:41,600 --> 01:37:43,460 There's general support for expanding 1678 01:37:43,460 --> 01:37:46,720 the cultural facilities fee to include public art 1679 01:37:46,720 --> 01:37:51,260 and ensuring that the nexus fee study addresses that issue. 1680 01:37:51,260 --> 01:37:56,110 For any fee increases, there is a general support 1681 01:37:56,110 --> 01:38:01,250 for an initial 75% increase and then 25% the second year 1682 01:38:01,250 --> 01:38:03,150 for consistency with other fee updates 1683 01:38:03,150 --> 01:38:05,910 that the city has implemented. 1684 01:38:05,910 --> 01:38:10,310 That there's general support for waiving impact fees 1685 01:38:10,310 --> 01:38:13,750 for all ADUs, so adding in ADUs that 1686 01:38:13,750 --> 01:38:16,630 are 750 square feet or larger. 1687 01:38:16,630 --> 01:38:21,710 And for staff to bring back, as a future discussion, 1688 01:38:21,710 --> 01:38:25,890 alternatives in terms of fee reduction or waiver options, 1689 01:38:25,890 --> 01:38:28,550 looking further at what other jurisdictions are doing, 1690 01:38:28,550 --> 01:38:30,910 and that would be a subsequent action. 1691 01:38:30,910 --> 01:38:32,490 Does that sound good, everybody? 1692 01:38:32,490 --> 01:38:32,990 Great. 1693 01:38:32,990 --> 01:38:34,130 Thank you for summarizing. 1694 01:38:34,130 --> 01:38:34,838 Much appreciated. 1695 01:38:34,838 --> 01:38:36,505 All right, with that, thank you to those 1696 01:38:36,505 --> 01:38:37,730 who came to participate. 1697 01:38:37,730 --> 01:38:39,630 And thank you for the presentation. 1698 01:38:39,630 --> 01:38:40,918 And this meeting is adjourned. 1699 01:38:40,918 --> 01:38:42,710 And I'll give everyone a five-minute break, 1700 01:38:42,710 --> 01:38:45,110 and we will come back for our regularly scheduled evening 1701 01:38:45,110 --> 01:38:45,650 meeting. 1702 01:38:45,650 --> 01:38:47,470 Thank you. 1703 01:38:47,470 --> 01:38:49,470 [CHUCKLES] 1704 01:38:51,870 --> 01:38:53,870 Recording stopped.