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Norco council considers per‑square‑foot fee, ADU exemptions and multifamily impacts
Summary
The consultant said California requires residential fees to be calculated per square foot; council members debated effects on multifamily units and ADUs (units under 750 sq ft are generally exempt), and heard that per‑sq‑ft fees may be higher for multifamily on a per‑square‑foot basis but lower per unit because of smaller unit sizes.
The council discussed the mechanics and policy effects of switching from flat per‑unit charges to a per‑square‑foot residential fee, as required by recent state guidance. The consultant explained how per‑sq‑ft calculations change relative burdens across product types and noted statutory limits around small accessory dwelling units.
"You can't charge impact fees to ADUs that are less than 750 square feet," the consultant said, describing one important regulatory exemption. He added that, on a per‑square‑foot basis, multifamily often shows a higher fee but that total per‑unit fees can remain lower because multifamily units generally have less square footage than single‑family homes.
Councilmembers raised equity and market concerns: if multifamily per‑sq‑ft fees are higher, will that discourage affordable apartments? The consultant and council agreed that the council can adopt lower fees for any category as a policy decision to encourage or disincentivize particular housing types, but doing so reduces fee revenue and requires the city to backfill the difference from other funding sources.
The council asked staff to present analyses comparing fee outcomes under different structures (single fee per square foot versus split rates for single‑family and multifamily) before finalizing policy direction.
