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Developer, staff outline ~$90M in fees and community contributions; city projects a net fiscal gain
Summary
City staff and the developer reviewed development impact fees, community benefit contributions and a 15‑year development agreement that together are projected to yield roughly $90M in investments and a net ongoing fiscal benefit estimated at about $9.8M per year at buildout (staff projection).
City staff told the Planning Commission that, using today's fee rates, the Mesa Verde project would generate just under $80,000,000 in city development impact fees and roughly $90,000,000 in combined city investments when community benefit contributions and public improvements are included. City staff framed the estimates as preliminary and subject to credits and rate updates.
"The project would generate just under $80,000,000 in development impact fees," the city manager explained during his presentation. Staff also described DA prepayments and fee timing: $3,000,000 in government facilities fees within 18 months of the first grading permit, $15,000,000 in street and traffic fees at agreed milestones, plus residential and business park community benefit contributions tied to building permits and Certificates of Occupancy.
Bill Shopoff, the developer, emphasized the expected economic return to the community and employment benefits, saying the plan would create "more than 5,300 jobs at build out in stabilization" and that the project would be a major long‑term investment for Calimesa. Staff cautioned the commission that industrial buildings do not automatically generate sales tax and that occupancy of speculative warehouse space is uncertain; revenue estimates therefore excluded speculative sales tax gains.
Staff summarized an overall long‑term net positive fiscal impact of about $9.8 million per year at 15‑year buildout (inflation‑adjusted), while noting this estimate relies on assumptions about buildout timing, fees at issuance, crediting for constructed improvements, and future market conditions.
