BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Approve the Agreement with NBS Government Finance Group for Water Supply and Flood Protection Development Impact Fee Analyses, CAS File 5150, For a Not-To-Exceed Fee of $357,660.
End
RECOMMENDATION:
Recommendation
Approve the Agreement with NBS Government Finance Group for Water Supply and Flood Protection Development Impact Fee Analyses (Project) for a not-to-exceed fee of $357,660.
Body
SUMMARY:
In November 2017, Santa Clara Valley Water District (Valley Water) received a report from financial consultant, William C. Statler analyzing available revenue options that could potentially offset water rate increases. The report concluded that while there are fewer non-rate options for special districts compared with cities and counties, there was nonetheless a broad range of reasonable revenue options available to Valley Water. However, the ones with the greatest revenue potential would require either majority property owner approval (property-related fees or assessments) or two-thirds voter approval for special taxes.
The report further concluded that there is only one significant revenue option available to Valley Water that could be implemented by the Board without some form of voter approval: development impact fees.
A portion of the Valley Water Capital Improvement Plan (CIP) will likely benefit new development for both water supply and flood protection projects. With this agreement, a comprehensive development impact fee analysis (one analysis for water supply, and one analysis for flood protection) would be prepared to assess new development's share of cost, and the estimated potential development impact fee revenue and charges. The consultant would coordinate with other agencies and the development community, and should the Board decide to implement development impact fees, assist with implementation.
It should be noted that typically, this type of fee is collected by cities and counties along with buildin...
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