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Council reviews Mitigation Fee Act annual report for fiscal 2023–24; staff to return with updated fee study

2117173 · January 16, 2025
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Summary

City staff presented the Mitigation Fee Act annual report for fiscal year 2023–24 showing fees collected for parks, traffic and other impact funds; council discussed recent increases in several categories and staff said an updated fee study will return in spring.

City staff presented the Mitigation Fee Act annual report for fiscal year 2023–24 during the Jan. 15 meeting and summarized the required disclosures on separate impact‑fee funds, fund balances and intended uses.

Staff reminded the council that state law requires separate funds for each development‑impact fee, an annual public report and five‑year findings when unexpended balances exist. The city currently collects nine fees covering parks, traffic, open space and trails, library/community facilities, fire protection and flood control. The report complied with those requirements and was made available to the public.

Council members asked staff about recent trends. One council member noted an unusually large one‑year spike in traffic mitigation fees in 2020 and higher receipts for park development and parkland acquisition fees in FY2023–24; staff said they are working with a consultant on an updated impact‑fee study that will be presented to council in spring. The consultant’s update will include recommended fee adjustments to reflect current demand and costs.

No formal vote was required to receive the annual report; staff said the report is provided to the council to meet state statutory requirements and that the report will be posted publicly. Council members expressed interest in revisiting fee levels and pledged to examine adjustments when staff returns with the consultant’s updated impact‑fee study.