Development fee coming in thirds

This was a tough decision! After meeting last Friday with Ann Marie Hammond of Coldwell Banker Real Estate, I was convinced that we should approve "grandfathering " clause for Development Impact Fees. Ann Marie's passion for the community and her profession is well recognized. The Building Industry Association recommendation was supported by the local Realtors and developers, my concern was using the number of permits, I preferred a structured concept. We will review the fees annually and determine the best course of action. Joe

By DAVID HELDRETH Staff Writer April 18, 2007 - 7:10AM BARSTOW - After months of discussions, the City Council chose a plan to implement development impact fees, which will go into effect one-third at a time. The final fee for homes will be $12,929 per house. At Monday's meeting, the Council voted 3-2 to institute the fee schedule proposed by city staff. Councilman Steve Curran moved to vote on the selected fee, and Joe Gomez seconded it. Tim Silva and Julie Hackbarth-McIntyre cast the dissenting votes. "I feel confident that the decision the Council made is the smart decision for growth and development in Barstow," Gomez said. "I think the fee we chose is best for everyone involved." The schedule the Council voted in will take effect Aug. 1, when 33 percent of the fee ($4,267) will be implemented. The fee will increase to 66 percent ($8,533) on Aug. 1, 2008, before climbing to 100 percent on Aug. 1, 2009. An amendment would allow the Council to hold the fees at 33 percent if necessary. The Council never entertained a motion to vote on the alternate proposal, which the Building Industry Association proposed. That option would have ties to the number of building permits as well as a timeline. "The permit-based proposal might have caused confusion," Gomez said. "A developer wouldn't be able to accurately plan their costs over the next two or three years. There wouldn't be a way to know exactly what the fee would be at a certain time. The time-based plan is straightforward." Both Silva and Hackbarth-Mc-Intyre said they preferred that option but didn't see the chosen plan as a major misstep. "I don't think the program we passed will kill development," Silva said. However, he said, a slower approach to initiating the fees could have helped the local economy. "I liked the other plan better," Hackbarth-McIntyre said. "Both of them would be OK for this city." City spokesman John Rader said the fee schedule chosen will shift some of the burden off of taxpayers more quickly than the other option would have. One thing all sides agreed on regarding the fee was the necessity of grandfathering in builders already moving forward with plans for development in Barstow. Both proposed fees included a section devoted to grandfathering. To be considered for grandfathering, a builder must have its tentative map, with submitted final engineering for the first plan check, approved by the Council before Aug. 1 and receive a building permit by Aug. 1, 2009. "I think that it was great that the grandfathering was included in the fee," said Theresa White, the president of the Barstow Association of Realtors. "It was definitely needed. It would be unfair to change the fees on people who have been making plans based on the fees and expenses that were already in place."