Title:
Title
Agreement: Credit Agreement Landowner Payment for Construction of Water Facilities - Greenbriar Project [Published for 10-Day Review 11/05/2020]
End
FileID
File ID: 2020-01237
Location
Location: District 1
End
Recommendation:
Recommendation
Pass a Motion authorizing the City Manager or the City Manager’s designee to execute an Agreement with The Greenbriar Project Owner, LLC to issue water development impact fee credits for the Greenbriar Development Project for an amount not-to-exceed the actual costs of construction of water infrastructure currently estimated at $8.4 million.
FileName
Contact: Inthira Mendoza, Project Manager (916) 808-1473; Neal Joyce, Supervising Engineer (916) 808-1912; Tony Bertrand, Engineering & Water Resources Division Manager, (916) 808-1461; Department of Utilities
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Agreement
Description/Analysis
Issue Detail: Staff recommends Council approve an agreement with The Greenbriar Project Owner, LLC (Developer), for the issuance of water development fee credits.
The Developer is developing 577 acres of standard single-family, multi-family, shopping center, limited commercial and agriculture-open space zones within the Greenbriar Planned Unit Development, (the Project). In order to provide water service to this development, the Developer is funding and constructing the water transmission mains.
Per City Code Section 13.04.820, the Developer is eligible for water development fee credits upon Council’s authorization since it is constructing the major facilities. This agreement authorizes the credits, establishes the credit amount and specifies the process for obtaining those credits.
Policy Considerations: City Council approval is required to authorize credit for transmission facilities per City Code 13.04.820, subsection F.
The Sacramento City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action. This contract was published for 10-day review on November 5, 2020 as required.
Economic Impacts: None.
Environmental Considerations: On January 29, 2008, the City Council approved the Greenbriar Development project and certified an environmental impact report (EIR) along with adopting a mitigation monitoring and reporting program (MMRP) (Resolution No. 2008-0055). On February 1, 2008, Staff filed a Notice of Determination with the Sacramento County Clerk and the California Office of Planning and Research, State Clearinghouse. The subject activity implements components and processes associated with the approved Greenbriar Development, which was included in the analysis conducted in the certified EIR. No further environmental review required.
Sustainability: The proposed project is consistent with the 2035 General Plan Policy U1.1.5 Growth and Level of Service as it requires new development to provide adequate facilities needed to provide services to accommodate growth.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: The Developer is constructing the water transmission mains as part of the Project’s need for development, and in doing so, per City Code Section 13.04.820, is eligible for water development fee credits upon Council’s authorization.
Financial Considerations: In accordance with the City fee credit policies and the Agreement, the City will issue fee credits from the Water Development Fees Fund (Fund 6001) to The Greenbriar Project Owner, LLC in an amount not-to-exceed the costs of the construction of water infrastructure, currently estimated at approximately $8.4 million. Once the City accepts the infrastructure, the capital assets completed through the fee credits will be added to the Water Development Fees Fund (6001), in accordance with the Generally Accepted Accounting Principles (GAAP).
There are no General Funds allocated or planned for this project.
Local Business Enterprise (LBE): LBE does not apply.