The Kingsburg Finance Committee convened on October 6, 2025, to discuss critical updates regarding developer impact fees, a topic that holds significant implications for local development and infrastructure funding. The meeting highlighted the necessity of conducting a new nexus study, a requirement mandated by California law to ensure that development fees are appropriately aligned with the impacts of new projects.

Lehi Henderson, a committee member, presented the details of the nexus study, explaining that California Government Code Section 66001 necessitates local agencies to establish a clear relationship between development fees and the public improvements they fund. This requirement is crucial for ensuring that new developments contribute fairly to the infrastructure they rely on. The last nexus study for Kingsburg was conducted in 2016, and with new state legislation passed in 2021, the city is now required to update these studies every eight years.

In response to these mandates, the Kingsburg City Council allocated funds in the fiscal year 2026 budget to complete a new nexus study. A request for proposals (RFP) was issued on August 1, 2025, and two qualified firms responded by the deadline of August 22, 2025. Both firms, DTA and Willdan Financial Services, have prior experience working with the city, which adds a layer of confidence in their capabilities.

DTA, which conducted the previous study, proposed a cost of $49,210, while Willdan's proposal was significantly higher at $87,300. The committee recommended selecting DTA for the project due to their competitive pricing and established relationship with the city. The anticipated timeline for completing the study is approximately six months, with any proposed fee changes expected to be integrated into the fiscal year 2027 budget. If approved, these new impact fees would take effect on July 1, 2026, while existing projects with development entitlements would be exempt from the new rates.

This meeting underscores the city's proactive approach to managing growth and ensuring that infrastructure needs are met in tandem with development. As Kingsburg continues to evolve, the outcomes of this nexus study will play a pivotal role in shaping the community's financial landscape and its ability to support future growth.