Placentia delays decision on development impact fee nexus study to March 3

City officials on Feb. 3, 2026 continued a public hearing on a proposed development impact fee nexus study and related new city facilities fees, saying the study needs additional work to be legally defensible.

Joe Lambert, the staff presenter, told the council that the city has been working with consultant DTA for more than a year and that the Building Industry Association and other stakeholders expect to understand how fees are calculated. Lambert said the purpose of the study is to confirm a nexus — a legally required connection — between new development and fees used for streets, sewer, affordable housing, police and fire needs. "This is a topic that we need to get right," Lambert said.

A member of the public, Jeff Buchanan, asked whether a major rebuild after a home fire would trigger the fees. Lambert replied that ordinary repairs or minor projects (for example, replacing a roof or water heater) would not be affected: "It does, to be clear, it does not affect, you know, somebody wanting to put a roof on or water heater ... patio cover and all that kind of things." The city emphasized that impact fees are generally imposed only on new development as conditions of approval and are intended for cost recovery, not profit.

After public testimony, the council moved and voted to continue the item to the council's regular meeting on March 3, 2026. The clerk recorded the motion as passing with four yes votes and one not voting (Mayor Pro Tem Yamaguchi absent/excused).

The continuation means staff and the consultant will return with a completed, vetted nexus study and fee schedule for further review; the city encouraged members of the public to submit questions to staff before the March hearing.