title
Conduct a public hearing to consider adopting a 9.4% increase in fire protection district impact fees for the Cordelia, Dixon, Suisun, and Vacaville Fire Protection Districts; and Approve a resolution adopting the fire protection impact fees effective February 9, 2025 for each of the respective fire protection districts and authorizing the levying of the fees on the respective jurisdictions
body
Published Notice Required? Yes _X__ No _ ___
Public Hearing Required? Yes _X__ No _ ___
DEPARTMENTAL RECOMMENDATION:
The County Administrator’s Office recommends the Board of Supervisors:
1) Conduct a public hearing to consider adopting a 9.4% increase in fire protection district impact fees for the Cordelia, Dixon, Suisun, and Vacaville Fire Protection Districts; and
2) Approve a resolution adopting the fire protection impact fees effective February 9, 2025 for each of the respective fire protection districts and authorizing the levying of the fees on the respective jurisdictions.
SUMMARY:
Pursuant to California Government Code section 66000 et seq., the County collects a public facilities fee to finance public facilities for countywide services. County Code, Article XVI of Chapter 11 provides the mechanism by which the County can levy a fire protection district impact fee on a fire district’s behalf. The County currently collects fire protection district impact fees for the Cordelia Fire Protection District (CFPD) as administered by the City of Fairfield’s Fire Department, the Dixon Fire Protection District (DFPD), the Suisun Fire Protection District (SFPD), and the Vacaville Fire Protection District (VFPD) to finance public capital expenditures for growth-induced fire services within their jurisdictions. Each of these fire protection districts has updated their fire impact fee nexus studies to determine the current nexus and degree of impact of new development on each of their respective fire protection facilities, apparatus, and equipment. Each District’s governing board has adopted resolutions requesting the Board of Supervisors adopt and establish fire impact fees based on these current studies. The most updated studies were approved by the Solano County Board of Supervisors on December 8, 2020 and will be due again in 2025.
In accordance with Solano County Code 11-640, the Solano County Board of Supervisors adopts each District’s respective Fire Impact Fee based on the percentage in the California Construction Cost Index (Attachment F), which shall be subject to annual review and adjustment after a noticed public hearing. The percentage for 2023, which is calculated from December to December and is the applicable percentage rate for 2024, is 9.4%.
FINANCIAL IMPACT:
There is no impact to the County General Fund. Fee revenue collected pursuant to Chapter 11 of the County Code will be deposited within a separate fund for capital expenditures for each fire protection district that adopts a fire impact fee. The County will retain two percent of the fees collected to offset the labor costs of administration.
DISCUSSION:
In 2005, the Board adopted an ordinance adding Article XVI of Chapter 11 of the Solano County Code relating to fire protection district impact fees and the collection of these fees on behalf of the fire protection districts. Fire protection districts do not have independent authority under Government Code section 66000 et seq., the enabling legislation for the County’s public facilities fee, to levy a fee without the County’s assistance. Chapter 11 of the County Code allows the County to levy a fee on behalf of each District.
The Cordelia and Vacaville Fire Protection Districts have had a fire impact fee in place since 2005 when they engaged a consultant to conduct development fire impact fee nexus studies to determine the impact of new growth on their respective Districts. Based on the studies, the Board adopted a resolution in 2005 authorizing the levying of the impact fee for the Cordelia and Vacaville Fire Protection Districts and approved agreements for the County to collect the impact fees on behalf of the Districts.
In 2008, the Suisun Fire Protection District also engaged a consultant to conduct a fire facilities impact study on their District, and the Board of Supervisors adopted a similar resolution and approved an agreement for collection of the Suisun Fire Protection District’s impact fees. In 2014, the Board of Supervisors completed the same process for the collection of the Dixon Fire Protection District’s impact fees.
In 2020, the Cordelia, Dixon, Suisun, and Vacaville Fire Protection Districts retained SCI Consulting Group to update their fire impact fee nexus studies as required by Government Code section 66000 et seq, which requires that the premises and projections used to establish the fire impact fees be re-evaluated every five years. Each of the studies evaluated the relationship between new development in each of the respective jurisdictions and the fire impact fee amount required to accommodate growth through 2040. Districts are projected to generate impact fee revenues through 2040. The Districts should re-evaluate the nexus study in 2025.
In accordance with Solano County Code 11-640, the Solano County Board of Supervisors adopts each District’s respective Fire Impact Fee based on the percentage published in the California Construction Cost Index (CCCI) or a similar index which measures typical construction costs for facilities generally similar to those to be built by the fire protection districts. The CCCI is developed based on Building Cost Index averages for San Francisco and Los Angeles, and reports cost trends for specific construction trade labor and materials in California.
The fee increases, while based on the CCCI, shall still be subject to annual review and adjustment after a noticed public hearing. For 2025, the Fire Protection Districts recommend a 9.4% increase representing a twelve-month percentage increase in the CCCI from December 2022 to December 2023. The Capital Improvement Plans of the fire districts based on the nexus study presented on December 8, 2020, showed that the bulk of the capital projects are in facilities expansion and/or new construction.
The Board will still require the Districts to provide a nexus study every five years to ensure that there is a reasonable relationship between the amount of the fire impact fees and the cost of the fire protection facilities, apparatus, and equipment attributable to the development on which the fee is imposed so that the fee represents the equivalent cost of providing the existing level of fire protection and emergency response services within the District.
Each of the Districts’ Board of Directors adopted resolutions requesting the Board to adopt and establish a 9.4 % increase in fire impact fees based on the twelve-month index in the CCCI from December 2022 to December 2023 as follows:
• Cordelia Fire Protection District - Resolution 2024-09
• Dixon Fire Protection District - Resolution 24-06
• Suisun Fire Protection District - Resolution 2024-02
• Vacaville Fire Protection District - Resolution 2024-002
The impact fees are based on square footage and would be collected at the time a building permit is obtained. Accessory dwelling units less than 750 square feet of living area are exempt. Attachment E includes each District’s summary of the updated fees.
Subject to Board adoption of the resolution, the revised fees will be effective February 9, 2025 to meet the statutory requirements of 60 days following the Board’s adoption of fees.
The Department of Resource Management will collect the fees, along with other public facilities fees components. The fees will be deposited in separate accounts and credited to the respective fire protection district. The County will retain two percent of the fee collected to offset the labor costs of administration.
In compliance with Government Code section 66006(b)(2), a notice of the time and place of this meeting, including the address where this information may be reviewed, was published in newspapers of general circulation as follows: the Benicia Herald and the Daily Republic on November 27 and December 4, 2024, and the Vacaville Reporter and the Vallejo Times Herald on November 29 and December 4, 2024. All interested parties who have filed a written request with the Clerk of the Board were sent a notice at least 15-days prior to today’s Board meeting. Notification was also sent to the City Managers of the seven cities located within Solano County.
ALTERNATIVES:
The Board could choose not to adopt the resolution increasing fire impact fees of the Cordelia, Dixon, Suisun, and Vacaville Fire Protection Districts. However, this is not recommended as it is inconsistent with the Solano County Code, which allows annual review and appropriate adjustment based on a recommended index.
OTHER AGENCY INVOLVEMENT:
Each District recommended the fee increase to determine the current impact to their respective District. The respective resolutions are included as Attachments A - D.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION