Editor's note(s)—Ord. No. 05-20 , § I, adopted Feb. 11, 2020, amended Ch. 16.60 in its entirety to read as herein set out. Former Ch. 16.60, §§ 16.60.010—16.60.160, pertained to similar subject matter, and derived from Ord. 5-08; and Ord. 5-03.
The purpose of this chapter is to establish the procedures for requiring the dedication of land, the payment of fees in-lieu thereof (or a combination of both) to serve new subdivisions in accordance with the Master Plan for Park Facilities, Recreation and Community Services adopted by the City Council in accordance with the requirements of the City's General Plan and in compliance with the requirements of California Government Code Sections 66477 et seq. (the "Quimby Act"). This chapter is enacted pursuant to the authority granted by the Quimby Act. The Quimby Act specifically authorizes the City to require dedication of parkland or the payment of fees in-lieu of such dedication in set amounts to meet the needs of the citizens of the community for parkland and to further the health, safety and general welfare of the community.
(Ord. 05-20, 2020)
For the purpose of this chapter, unless otherwise apparent from the context, the following terms, phrases, words and their derivations shall have the following meanings:
"Community park"
means a park that generally services an area comprising several neighborhoods within a radius of one to two miles. The desired park size ranges from 15 to 40 acres. This type of park will generally allow for a greater variety of recreation opportunities and provide either or both active or passive recreation opportunities. A community park may provide for sufficient opportunities for further development and unhindered use of recreation facilities. It may also accommodate desired league standards and any increase in intensity of usage. Finally, a community park may be developed adjacent to a junior or senior high school in accordance with a joint use agreement with the school district.
"Dwelling unit"
means each single family dwelling, each dwelling unit in a duplex, apartment house or dwelling, condominium, mobile home unit, and any other place designed, occupied or intended for occupancy as a separate living quarter by one or more persons for living, sleeping, cooking and eating.
"Fair market value"
means the fair market value of undeveloped residential real property as applicable for the density classifications established by resolution of the City Council for the implementation of this chapter.
"Master plan"
means the City of Orange Master Plan for Park Facilities, Recreation and Community Services as adopted by the City Council of the City of Orange on December 14, 1999.
"Minimum park standards"
means the minimum dedicated condition that is deemed necessary by the City to accept land in order to help minimize health, safety, and environmental issues typically created by vacant parkland. Future neighborhood and community parks shall be physically configured so that they have a consolidated shape, either rectangular or square in configuration. Long, narrow or other shapes that do not lend themselves to the proper siting of park and recreational facilities shall be avoided. Average slope gradients for neighborhood parks shall not exceed five percent while average slope gradients for community parks shall not exceed five percent for more than two-thirds of the site; provided, however, that the portion of land in excess of two-thirds dedicated for a community park having a slope gradient of more than five percent shall not be credited toward the land dedication requirements under Section 16.60.050 of this chapter unless otherwise determined by the City Council upon recommendation of the Director of Community Services and the Planning Commission. Minimum park standards shall also include full street improvements, including five foot wide concrete sidewalks and five foot wide parkways, for that portion of the land to be dedicated that abuts all street frontages, sod stabilization for the parkways and a 20 foot setback area behind the back of the sidewalk(s), soil preparation for the 20 foot setback area for sod stabilization, grading for the entire site, hydro seeding the area beyond the 20 foot sod setback area, the installation of automatic irrigation systems, adequate site drainage facilities, and the stubbing in of utility services to the property line, all to full City standards or to the standards of the agency or public utility having jurisdiction. Land dedicated for a park shall be land which may be used for park and recreational purposes all year and upon which recreational facilities may be built.
"Neighborhood park"
means a park that provides for daily recreation needs. The optimum size for a neighborhood park is between four and 10 acres with a service area of a one-half mile radius. The park should provide a variety of passive and active recreation opportunities. Active recreation facilities are intended for informal games rather than organized league play. The park should be easily accessible and encourage biking and walking access. It should foster the development of open field play, picnic areas, and tot lots. This type of park may also be developed adjacent to or in joint agreement with a school.
"Park"
means a parcel or contiguous parcels of land which provides recreational land and facilities for the benefit and enjoyment of the residents and visitors of the City.
"Recreational facilities"
means those improvements to parks which provide a recreational opportunity for the user, including, but not limited to, ball fields, lighting, swimming pools, tennis courts, picnic shelters, trails, play/tot lots, and community buildings. These are improvements that are above the basic minimum park standard requirements.
"Subdivider"
means a person, firm, corporation, partnership or association who proposes to divide, divides or causes to be divided real property into a subdivision for himself or for others.
"Subdivision"
means that definition contained in California Government Code Section 66424 and shall include any division of land governed by the provisions of the Subdivision Map Act (commencing with California Government Code Section 66410).
(Ord. 05-20, 2020)
Every subdivider who subdivides land for residential purposes shall dedicate a portion of such land, pay a fee, or a combination of both, at the option of the City as set forth in this chapter, at the time and according to the standards and formula contained in this chapter.
(Ord. 05-20, 2020)
It is found and determined that the public interest, convenience, health, welfare, and safety require that three net acres of useable parkland for each 1,000 persons residing within the City shall be devoted to neighborhood and community parks.
(Ord. 05-20, 2020)
A. 
The amount of land to be dedicated by a subdivider pursuant to the provisions of this chapter shall be determined as follows:
1. 
The City shall determine the number of dwelling units per gross acre to be constructed. The City shall determine the average number of persons per dwelling unit, and this computation shall be based upon the average household size for the dwelling units to be constructed, as disclosed by the most recent available federal census figures. When a proposed subdivision contains different types of dwelling units, the following formula shall be used for each type of dwelling unit and the results shall be totaled.
2. 
The amount of land to be dedicated shall be computed by multiplying the product of: (1) the number of proposed dwelling units; and (2) the average number of persons per dwelling unit within the density classification appropriate for the subdivision in question, by the park acreage standard (3.0) and dividing that number by 1,000.
The amount of land to be dedicated shall be determined pursuant to the following formula:
A
=
3.0 (DU x PPD)
1,000
Definition of terms:
A
-
The area in acres required to be dedicated as park land.
3.0
-
The park acreage standard for the City; number of acres per 1,000 persons.
DU
-
The number of proposed dwelling units.
PPD
-
The number of persons per dwelling unit as applicable for the subdivision and type of dwelling units to be constructed.
B. 
If it is determined that a subdivider is to dedicate land in accordance with the provisions of subsection A of this section, the subdivider, at the time the final tract map or final parcel map is approved by the City Council, shall obligate itself, by a condition to such map, to provide such land with the minimum park standards acceptable for dedication purposes to the City. In-lieu of providing such minimum park standards, the subdivider shall pay a sum equal to the per acre cost to provide such land with the minimum park standards acceptable for dedication purposes to the City. The decision to accept a sum equal to the per acre cost to provide land dedicated in accordance with the provisions of subsection A of this Section 16.60.050 with the minimum park standards in-lieu of the subdivider providing such minimum park standards shall be at the discretion of the City Council.
C. 
The City Council shall, by resolution, set forth the specific amount of the fees to be paid by a subdivider in-lieu of dedication of land, actual or updated cost estimates for the minimum park standards, the average number of persons per dwelling unit, the residential density classifications, and actual or updated estimates of fair market values for undeveloped residential real property.
(Ord. 05-20, 2020)
A. 
If the proposed subdivision contains 50 parcels or less, or if there is no site suitable to the City for a park or recreation facility in the subdivision, or if it is otherwise determined that a fee shall be paid in-lieu of dedication of land, the subdivider shall, in-lieu of dedication of land, pay a fee equal to the fair market value of the amount of land prescribed for dedication pursuant to Section 16.60.050, plus a sum equal to the per acre cost to provide such land with the minimum park standards acceptable for dedication purposes to the City. When a condominium project, stock cooperative, or community apartment project exceeds 50 dwelling units, the City may require dedication of land notwithstanding that the number of parcels may be less than 50.
B. 
The money collected hereunder shall be used only for the purpose of developing new, or rehabilitating existing park or recreational facilities reasonably related to serving the citizens living in the proposed subdivision, either by way of the purchase of land as necessary for park purposes or, if the City Council determines that there is sufficient land available, for the improvement of such land for park and recreational purposes. Any fees collected pursuant to this chapter shall be committed within five years after the payment of such fees, or the issuance of building permits on one-half of the lots created by the subdivision, whichever occurs later. If such fees are not committed, they shall be distributed and paid to the record owners of the subdivision in the same proportion that the size of their respective lots bears to the total area of all lots within the subdivision.
C. 
When a fee is required to be paid in-lieu of land dedication, the amount of the fee shall be based upon the fair market value of undeveloped residential real property for the density classification of the proposed subdivision and the per acre cost to provide such land with the minimum park standards acceptable for dedication purposes to the City. Such fee shall include an amount to recover the cost of preparation of the study and administrative overhead costs, to be set as a percentage of the in-lieu fees which are collected pursuant to this chapter. The fees created pursuant to this chapter shall be calculated on the basis of the number of dwelling units in the subdivision. All fees collected shall be promptly transferred for deposit in the park acquisition and development fund.
D. 
The in-lieu fee shall be calculated by multiplying the acreage amount of land which would otherwise have been required for dedication using the formula from subsection A of Section 16.60.050 by the sum of the: (1) fair market value of undeveloped residential land; and (2) the per-acre cost to improve such land with the minimum park standards acceptable for dedication purposes to the City. The fee shall be determined pursuant to the following formula:
In-Lieu Fee = A x (FMV + MPSF)
Definition of terms:
A
-
The area in acres required to be dedicated as park land using the formula from Section 16.60.050(A).
FMV
-
The fair market value of undeveloped residential real property as applicable for the density classification of the proposed subdivision.
MPSF
-
The per acre cost to provide land with the minimum park standards acceptable for dedication purposes to the City.
(Ord. 05-20, 2020)
A. 
The procedure for determining whether the subdivider shall dedicate land, pay a fee in-lieu thereof, or a combination of both, shall be as follows:
1. 
At the time of filing for approval a tentative tract or parcel map, the subdivider of the property, as a part of the filing, shall indicate whether he or she desires to dedicate property for park and recreational purposes or whether he or she desires to pay a fee in-lieu thereof. If he or she desires to dedicate land for such purposes, he or she shall designate the area thereof on the tentative tract or parcel map as submitted and shall furnish to the City a Phase I Environmental Assessment for the land proposed to be dedicated prepared in compliance with the American Society for Testing and Materials Phase I Environmental Site Assessment Standards. On subdivisions involving 50 parcels or less, only the payment of fees shall be required, except that when a condominium project, stock cooperative, or community apartment project (as those terms are defined in Section 1351 of the California Civil Code) exceeds 50 dwelling units, dedication of land may be required notwithstanding that the number of parcels may be less than 50.
2. 
At the time of the tentative tract or parcel map approval, the Planning Commission shall recommend to the City Council, as a part of such approval, whether to require a dedication of land within the subdivision, the payment of a fee in-lieu thereof, or a combination of both.
3. 
Where dedication is required, it shall be accomplished in accordance with the provisions of the Subdivision Map Act and conveyed to the City. Real property dedicated pursuant to the provisions of this chapter shall be: (a) conveyed by grant deed in fee simple to the City by the subdivider free and clear of all encumbrances, except those which will not interfere with the use of the property for park and recreational purposes and which the City agrees to accept; (b) restricted to park and recreational purposes; and (c) permanently devoted or dedicated to use by the general public, unless a satisfactory substitute is approved by the City Council. Where fees are required, they shall be deposited with the City at the time prescribed by Section 16.60.120.
B. 
Whether the Planning Commission recommends that the City Council accept the land dedication or elect to require the payment of a fee in-lieu thereof, or a combination of both, shall be determined by consideration of the following:
1. 
The master plan;
2. 
The topography, geology, access, and location of the land in the subdivision available for dedication;
3. 
The size and shape of the subdivision and the land available for dedication;
4. 
The location of existing or proposed park sites and recreational facilities; and
5. 
The desirability of developing the land proposed for dedication for park and recreational purposes as determined by a schematic site plan submitted by the subdivider.
C. 
In subdivisions of more than 50 parcels, the subdivider shall both dedicate land and pay a fee in-lieu thereof, in accordance with the following formula:
1. 
When only a portion of the land needed to satisfy the dedication requirement meets the minimum park standards and is acceptable to the City as a park site and is located within the proposed subdivision, such portion shall be dedicated for park purposes and a fee, computed pursuant to the provisions of subsection D of Section 16.60.060, shall be paid for the additional land that would have been required to be dedicated pursuant to subsection A of Section 16.60.050.
2. 
When a portion of a park site has already been acquired by the City and only a portion of land is needed from a subdivision to complete the park site, the remaining portion needed to complete the park site shall be dedicated and a fee shall be paid in an amount equal to the value of the land computed pursuant to the provisions of subsection D of Section 16.60.060, which otherwise would have been required to be dedicated pursuant to subsection A of Section 16.60.050; such fee to be used for the improvement of the existing park and recreational facility, or for the improvement of other parks and recreational facilities in the area served by the subdivision.
D. 
The determination of the City Council as to whether land shall be dedicated, or whether a fee shall be charged, or a combination thereof, shall be final and conclusive.
(Ord. 05-20, 2020)
A. 
When a proposed subdivision is a part of a major land development (i.e., a land development project exceeding 40 acres in size) and the owner of such land proposes to permit development by several subdividers, provisions for land dedication or the payment of a fee in-lieu thereof (or a combination of both) may be made by the owner through the adoption of a park provision agreement with the City.
B. 
The decision to enter into a park provision agreement with the owner shall be at the discretion of the City Council based on the following criteria:
1. 
The park provision agreement shall be consistent with the master plan and the minimum park standards.
2. 
Topography, geology, access, and location of land in the subdivision available for dedication.
3. 
Provisions of Sections "16.60.050 Standards and Formula for Land Dedication," "16.60.060 Formula for Fees in-Lieu of Dedication," and "16.60.070 Choice of Dedication of Land or Payment of Fees or a Combination of Both."
4. 
Size and shape of the subdivision and land available for dedication.
(Ord. 05-20, 2020)
A. 
When park and recreational facilities, including equipment, are provided by the subdivider to dedicated land, the value of the recreational facilities or equipment as determined by the City Council, upon the recommendation of the Planning Commission, shall be a credit against the fees to be paid or land to be dedicated pursuant to this chapter; provided that the recreational facilities or equipment have been made or installed with the prior approval and to the satisfaction of the Director of Community Services.
B. 
Credit shall not be allowed for single purpose commercial recreation facilities whether dedicated or in private ownership.
C. 
Partial park dedication credit may be given when land dedicated for a community park has a slope gradient of not more than five percent for more than two-thirds of the site. The portion of land dedicated for a community park in excess of two-thirds may be credited at the sole discretion of the City Council upon recommendation of the Director of Community Services and the Planning Commission.
D. 
Where park land is provided by the subdivider in a proposed subdivision and such park land is to be privately owned and maintained by the future residents of the subdivision and restricted for the use, benefit and enjoyment by the residents of the subdivision and their guests and invitees, a maximum of 50% credit may be given for privately-owned park land provided in conjunction with the development of a subdivision against the requirement for dedication of park land in accordance with Section 16.60.050, subject to the following conditions:
1. 
Credit for privately-owned park land shall be subject to the approval of the City Council at the time of approval of the tentative tract or parcel map and upon recommendation of the Planning Commission.
2. 
The aggregate amount of privately-owned park land and public park land to be provided under this subsection D shall not be less than the park acreage standard set forth in Section 16.60.040; i.e., three acres of useable park land for each 1,000 persons residing within the subdivision.
3. 
The amount of privately-owned park land for which a subdivider may seek credit may not exceed one-third of the amount of land required for dedication under Section 16.60.050 and accepted by the City; meaning, for example, in a subdivision requiring the dedication of three acres of useable public park land in accordance with Section 16.60.050, not more than one acre of privately-owned park land may be eligible for a credit and the credit to be given shall not be greater than 50% of the fair market value thereof. Assuming that a subdivider seeks and is given 50% credit for a one-acre privately-owned park, the subdivider would then be required to dedicate 2.5 acres of public park land.
4. 
The credit to be given shall not be greater than 50% of the fair market value of the privately-owned park land to be provided, as such fair market value is determined by the City Council by resolution.
5. 
Unless otherwise determined by the City Council at the time of approval of the tentative tract or parcel map, the privately-owned park land must meet the minimum park standards.
6. 
Use of the privately-owned park land must be restricted for park and recreation purposes by a recorded park provision agreement, or such other recorded covenant as may be acceptable to the City Attorney, which shall run with the land in favor of the future owners of the property within the subdivision and which cannot be defeated or eliminated without the consent of the City first had and obtained and in no event without providing equivalent park land elsewhere within the subdivision or at such other location as will serve the subdivision. Each resident of the subdivision must be eligible to use the parkland and each lot or dwelling unit within the subdivision is subject to a charge for a proportionate share of the cost and expenses to operate and maintain the park land.
7. 
Access to the privately-owned park land shall be available and suitable to meet the recreation needs of the residents within the subdivision and their guests and invitees.
E. 
Except as otherwise provided herein, no credit shall be given for private open space in any subdivision.
(Ord. 05-20, 2020)
A. 
The provisions of this chapter do not apply to industrial and commercial subdivisions, or to condominium projects or stock cooperatives which consist of the subdivision of air space in an existing apartment building which is more than five years old when no new dwelling units are being added.
B. 
Subdivisions containing less than five parcels and not used for residential purposes shall be exempted from the requirements of this chapter; provided, however, that a condition may be placed on the approval of such parcel map, that if a building permit is requested for the construction of a residential structure, or structures, on one or more of the parcels, within four years, the fee may be required to be paid by the owner of each such parcel as a condition to the issuance of the permit.
C. 
In order to ensure that the imposition of fees pursuant to this chapter will not be contrary to the public interest, or prevent the development of a public service project, the City Council may waive all, or any portion of, the fees required by this chapter if the City Council finds that a subdivision will serve a public purpose or satisfy a public need and is located within a redevelopment project area, or other special district, or involves direct City of Orange participation in the residential development project. Moreover, the City Council may, from time to time, and as the need may arise, set forth, by resolution, specific limitations, which will apply to waivers of fees which may be made pursuant to this section. In this regard, this chapter shall be considered enabling and directory.
(Ord. 05-20, 2020; Ord. 09-22, 2022)
The fees imposed by this chapter shall be adjusted on the first day of July of each year to reflect the percentage of increase or decrease in the Consumer Price Index for All Urban Consumers (CPI-U) (Los Angeles-Long Beach-Anaheim; all items, not seasonally adjusted; 1982-1984=100 reference base) for the timeframe since the most recent increase.
(Ord. 05-20, 2020)
The fees referred to in Sections 16.60.050 and 16.60.110 may be revised, deleted, or otherwise amended by resolution of the City Council with available federal census data, actual or updated cost estimates for the minimum park standards, actual or updated estimates of the fair market value for undeveloped residential real property, substantial changes in the City's master plan, capital improvement plan and/or general plan, or other pertinent information.
(Ord. 05-20, 2020)
At the time of approval of the tentative tract map or parcel map, the City shall determine the amount of land to be dedicated, and/or the amount of fees to be paid by the subdivider. At the time of the filing of the final tract or parcel map, the subdivider shall dedicate the land, as previously determined by the City Council. The fees prescribed in this chapter shall be due and payable on the date of final inspection or issuance of a certificate of occupancy for each unit, whichever occurs first. The rate at which the fee shall be charged is to be based upon the rate that was in place at the time a building permit was issued for each unit.
(Ord. 05-20, 2020)
Fees paid to the City and deposited into the park acquisition and development fund shall be committed within five years after payment of such fees or the issuance of building permits on one-half of the lots created by the subdivision, whichever occurs later. If the fees are not committed, they shall be distributed and paid without any deductions to the then record owners of the subdivision in the same proportion as the size of their lot bears to the total area of all lots within the subdivision.
(Ord. 05-20, 2020)
A. 
All proceeds from the fees collected under this chapter shall be paid into a special fund of the City entitled "Park Acquisition and Development Fund" which fund is hereby created. All sums collected pursuant to the provisions of this chapter, together with any interest income earned thereon, shall be used only for the purpose of acquiring, building, improving, expanding and/or developing City parks in accordance with the requirements of this chapter.
B. 
In the event that bonds or similar debt instruments are issued for the advanced provision of park and recreational facilities for which in-lieu fees may be expended, such fees may be used to pay debt service on such bonds or similar debt instruments to the extent that the facilities provided are of the type to which the fees involved relate.
C. 
Funds may be used to provide refunds as described in Section 16.60.120.
D. 
The Director of Finance shall maintain records specifically identifying the origin of the funds used for any project or improvement funded, in whole or in part, by the park acquisition and development fund. Such records shall enable the Director of Finance to trace the fees from new residential subdivisions to specific projects funded by each subdivision. Any interest accruing on account of time deposit of the fund, or otherwise, shall be deposited to the credit of the fund.
E. 
Upon receipt of a written application from the Director of Community Services for disbursement of monies from the park acquisition and development fund on account of expenditures made or proposed for the benefit or use of parks or recreational facilities, the Director of Finance shall immediately advise the City Manager (or designee) and provide him or her with copies of any accompanying documents or papers that might have been submitted in support of the application. Within 10 days after receipt of such notice, the City Manager shall advise the Director of Finance whether the disbursement made or proposed is consistent with this chapter. If the City Manager fails to so certify within 10 days, it shall be presumed that he or she has made a positive finding therein. Within five days thereafter, the Director of Finance shall, if a positive finding has been made or presumed, approve payment as requested.
(Ord. 05-20, 2020)
The provisions of this chapter and any resolution adopted pursuant hereto shall at all times be subject and subordinate to the provisions of the Quimby Act, as the same presently exists or may hereafter be amended from time to time, to the extent the same are applicable. In the event of any conflict between the provisions of this chapter and state law, the latter shall control.
(Ord. 05-20, 2020)