[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
(a) 
The purpose of this division is to establish provisions for assessing and collecting a capacity charge for sewer facilities as a condition of requesting a new, additional, or expanded connection to the sewer system. The capacity charges are established pursuant to and in accordance with California Government Code § 66013. The capacity charges in this division are in addition to the connection fees assessed pursuant to § 6-7.231, or any other connection fees imposed for the cost of making a connection to the respective utility.
(b) 
The purpose of the capacity charges is to impose upon new, expanded, or additional connections, the proportional costs of constructing new public facilities designed to provide increased capacity necessary to serve such connections, or existing public facilities oversized to provide capacity to such connections, and which do not exceed the reasonable estimated cost of providing capacity to such connections. Such facilities are necessary for wastewater collection, treatment and disposal. The City Council therefore finds that it is in the interest of the public's health, safety and welfare for new, expanded, or additional connections to pay the costs of constructing these facilities reasonably related to the proportional cost of providing service to such connections.
(c) 
The City Council finds that the capacity charges are not greater than the reasonable estimated cost of providing the service for which they are imposed.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
For purposes of this division, the following terms, phrases, words and their derivations shall have the meanings respectively ascribed to them in this section:
CAPACITY CHARGE
A charge for public facilities in existence at the time the charge is imposed or charges for new public facilities to be acquired or constructed in the future that are of proportional benefit to the person or property being charged, including supply or capacity contracts for rights or entitlements, real property interests, and entitlements and other rights of the local agency involving capital expense relating to its use of existing or new public facilities. Capacity charges do not include connection charges imposed for the costs of connecting to the wastewater system, or fees or charges imposed for ongoing service.
RESOLUTION
The resolution adopted from time to time that contains the current schedule of capacity charges applicable to each type of development project.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
The capacity charges shall be calculated in accordance with the resolution approved by the City Council establishing or adjusting such capacity charges as set forth in the fee study or other document establishing the capacity charge.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
The capacity charge shall be established and adjusted by resolution of the City Council, and shall be used in accordance with such resolution and the data and analysis supporting such resolution.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
(a) 
The capacity charge will be established by City Council resolution.
(b) 
Annual Adjustments.
(1) 
After adoption, the amount of capacity charge shall be adjusted administratively on an annual basis beginning July 1, 2020, and each July 1 thereafter, by a price escalator which is the greater of:
a. 
The annual percentage increase in the Construction Price Index as published by the California Department of Transportation for the period between the immediately preceding March, and March of the year prior thereto; or
b. 
The annual percentage increase in the Engineering News Record, Construction Cost Index for Los Angeles for the period between the immediately preceding March, and March of the year prior thereto.
(2) 
Such price escalator shall be applied automatically by administrative action of the City manager annually, unless the City Council takes some specific action to modify such application.
(c) 
Capacity Charge Amount. The total amount of capacity charge shall be calculated, fixed and imposed as of the date specified in the City Council resolution establishing the capacity charges, excepting only those development projects that are subject to an existing development agreement where such agreement expressly provides for the amount and timing of development impact fees or capacity charges.
(d) 
Payment of Capacity Charge. The capacity charges will be imposed on any person requesting a new, additional, or expanded connection to the wastewater system, and shall be due at the time an application for such connection is made and paid prior to making such connection.
(e) 
The obligation to pay the capacity charge shall inure to the benefit of and be enforceable by the City.
(f) 
Nothing contained herein or in the resolution or ordinance establishing the capacity fees shall be deemed to limit the ability of the City to enter into a development agreement with any developer, and to provide for provision of necessary facilities in addition to or in lieu of the fees adopted by the City Council.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
(a) 
There hereby is created a Sewer System Capacity Fund, within the City's fund structure and accounting system, which shall contain an account for the capacity charges collected pursuant to this section and all interest accruing from the investment of revenues contained within the account.
(b) 
All capacity charges for wastewater collected pursuant to this division shall be deposited in the Sewer System Capacity Fund account. Funds within this account may be encumbered, obligated or expended by appropriation or other action of the City Council for specific projects which are of the same category of public facilities as those for which the charges were collected.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
An applicant for an expanded connection shall have credited against the total capacity charge such amounts that have already been paid for the initial connection.
[3-2-2020 by Ord. No. 1184-20, effective 5-1-2020]
An owner or person required to pay the capacity charge may appeal any determination of the City Manager or Director of Public Works hereunder, including, but not limited to, those regarding the total amount of capacity charge due or a project credit, by filing a written appeal to the City Council within 15 days of such determination. Such written appeal shall contain all of the grounds for the appeal, and the appellant shall be precluded from asserting any other grounds in such appeal or in any action or proceeding thereafter.