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HomeMy WebLinkAbout04-211 - Resolutions RESOLUTION NO. 04-211 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA,CALIFORNIA, DECLARING INTENTION TO PURSUE A CHANGE OF ORGANIZATION AND REQUESTING THE LOCAL AGENCY FORMATION COMMISSION TO INITIATE PROCEEDINGS FOR THE ANNEXATION OF TERRITORY GENERALLY LOCATED NORTH OF WILSON AVENUE BETWEEN EAST AVENUE AND WARDMAN BULLOCK ROAD AS DESCRIBED IN EXHIBIT "A," DEPICTED IN EXHIBIT "B," AND OUTLINED IN EXHIBIT "C,"THE PLAN OF SERVICES. RESOLVED, by the City Council of the City of Rancho Cucamonga, California; that WHEREAS, a Mitigated Negative Declaration of environmental impacts has been prepared and circulated pursuant to the requirements of the California Environmental Quality Act ("CEQA")in connection with the City Council's consideration of the proposed annexation described in the title of this Resolution and that such document has been presented to the City Council; and WHEREAS, the above-described properties are located within and consistent with the established Sphere of Influence of the City, and contiguous to current City limits; and WHEREAS, the territory proposed to be annexed is uninhabited (as defined under LAFCO),and a description of the boundaries of the territory is set forth in Exhibit"A"and depicted in Exhibit"B" attached hereto and by this reference incorporated herein; and WHEREAS, the annexation of the property will represent a logical extension of the City's boundaries and urban services; and WHEREAS, it is the City's intention to provide the usual and necessary urban services to the area upon annexation, as outlined in the Plan of Services set forth in Exhibit "C" attached hereto and by this reference incorporated herein; and WHEREAS,the City has determined that the annexation of the properties would be beneficial to the public purposes of the City, in that the properties will provide for development within the City in a manner consistent with the City's General Plan and with related development; and WHEREAS, the City Council as governing body of the City of Rancho Cucamonga desires to initiate proceedings for a Change of Organization (Annexation)for the subject properties pursuant to the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000, Division 3, Commencing with Section 56000 of the California Government Code; and WHEREAS, the City Council has determined that the proposed annexation be subject to the following terms and conditions: 1. The property owner has requested that the City of Rancho Cucamonga initiate annexation. The City is, therefore, requesting that the Local Agency Formation Commission approve the proposal with the waiver of further conducting authority proceedings as authorized by Govt. Code Section 56663(c). Resolution No. 04-211 Page 2 of 67 2. The proposed annexation shall be subject to all standard conditions required by the Local Agency Formation Commission. NOW,THEREFORE,the City Council as the governing body of the City of Rancho Cucamonga, California does hereby adopt, approve, resolve, determine and order as follows: SECTION 1: Based upon the facts and information contained in the record of this project,the City Council makes the following findings and statements, and takes the following actions, pursuant to the California Environmental Quality Act("CEQA")(Public Resources Code Section 21000 et. seq.): a. The City of Rancho Cucamonga seeks approval of a series of actions related to the annexation of approximately 300 acres of land from unincorporated San Bernardino County into the City of Rancho Cucamonga, and the approval of a General Plan Amendment and Etiwanda North Specific Plan Amendment. The changes in General Plan designation and in the Etiwanda North Specific Plan will reduce the acreage permitted for development by 45 acres by changing the General Plan designation for a 45- acre portion of the property from Very Low Residential (.1-2 dwelling units per acre) to Conservation and changing that portion of the project site in the Etiwanda North Specific Plan from Very Low Residential (.1-2 dwelling units per acre)to Flood Control/Resource Conservation. At the same time, a change is proposed to allow a change in residential density on 80 acres of the property from a General Plan designation of Very Low Residential (.1-2 dwelling units per acre)to Low Residential (2-4 dwelling units per acre) and a change for that 80-acre portion of the property in the Etiwanda North Specific Plan from Very Low Residential (.1-2 dwelling units per acre)to Low Residential (2-4 dwelling units per acre). These changes in designation for the 80 acres of the site proposed for development will increase the allowable number of dwelling units on the property from 168 to 218 (an increase in 50 dwelling units). The requested actions do not include approval of a specific development proposal or the subdivision of the property. These series of actions and approvals are hereinafter defined in this Resolution as the "Project." b. The City of Rancho Cucamonga has submitted the following applications relating to the Project:Annexation DRC2003-01164, General Plan Land Use Amendment DRC2003-01162, and Etiwanda North Specific Plan Amendment DRC2003-01163 (collectively the "Project Applications"). c. Pursuant to CEQA and the City's local CEQA Guidelines,the City staff prepared an Initial Study of the potential environmental effects of the Project. I Resolution No. 04-211 Page 3 of 67 d. Based upon the findings contained in the Initial Study, City staff determined that,with the imposition of mitigation measures,there was no substantial evidence that the Project would have a significant effect on the environment and a Mitigated Negative Declaration was prepared. Thereafter, City staff provided public notice of the public comment period (commencing on April 21, 2004 and ending on May 26, 2004)and of the intent to adopt the Mitigated Negative Declaration. e. The City Council has reviewed the Mitigated Negative Declaration and all comments received prior to and at the June 16, 2004 public hearing and, based on the whole record before it,finds that the Mitigated Negative Declaration was presented to the City Council for consideration and that it was prepared in compliance with CEQA. f. The City Council finds, based on the whole record, including the Initial Study, Mitigated Negative Declaration, comments to the Mitigated Negative Declaration, staff report, and staff and public testimony received at the Planning Commission and City Council hearings,that there is no substantial evidence that the Projectwill have a significant effect on aesthetics, agricultural resources, hydrology and water quality, land use and planning, mineral resources, population and housing, public services, recreation, transportation and traffic, and utilities and service systems. The conclusions for these findings are contained in the analysis of potential impact to these resources that is contained after the listing of each resource in the Initial Study. g. The City Council finds, based on the whole record, including the Initial Study, Mitigated Negative Declaration, comments to the Mitigated Negative Declaration, staff report, and staff and public testimony received at the Planning Commission and City Council hearings,that the impacts to the resources and services listed in this paragraph will be reduced to less than significant levels with mitigation measures: L Air Quality. The eventual development of the Project site with homes will result in short-term construction related air quality impacts from on-site stationary sources, construction vehicles, construction worker vehicles and energy use. Eleven mitigation measures will be imposed that include, but are not limited to, requiring the proper maintenance of equipment, utilization of low-emission mobile construction equipment where feasible, use of paints and coatings that meet SCAQMD standards, implementation of measures designed to reduce fugitive dust such as landscaping, phased grading, street sweeping and the suspension of Resolution No. 04-211 Page 4 of 67 grading operations during high wind periods,the use of water and soil-stabilizing agents, and other measures designed to reduce project emissions, including the use of electric or clean alternative fuel powered equipment where feasible,the incorporation of low polluting mechanical equipment for residential structures, and the use of thermal pane windows and weather-stripping. With these mitigation measures, the City Council finds that the Project's impacts to air quality will be mitigated to a level of less than significant. ii. Biological Resources. This Project does not include the approval of any development of the site and reduces the portion of the site authorized for development by 45 acres. However, to address impacts from potential development of the site, mitigation measures have been imposed to require developers who propose development within the Project site to prepare a Biological Resource Habitat Assessment for the area of the proposed development and to acquire and convey to the County of San Bernardino, or some other qualified conservation entity as approved by the City, land that supports Riversidean Alluvial Fan Sage Scrub (RAFSS) habitat at a ratio of one acre for each acre of RAFSS disturbed by the proposed project. With these mitigation measures,the City Council finds that the impacts to biological resources will be mitigated to a level of less than significant. iii. Cultural Resources. Although this Project does not involve the approval of any specific development project for the site, there is the potential that when developed, Native American archeological resources could be discovered. Mitigation measures have been imposed to require the use of a qualified archaeologist to monitor construction activities, and to have a qualified paleontologist conduct a pre-construction survey of the site and to follow specified protocols for the salvage of any important resources. With these mitigation measures, the City Council finds that the impacts to cultural resources are mitigated to a level of less than significant. iv. Geology and Soils. The Etiwanda Avenue Scarp segment of the Red Hill Fault Zone traverses a portion of the Project site. In accordance with the Alquist-Priolo Earthquake Fault Zone Act, any future development of the site within the Etiwanda Avenue Scarp segment must be accompanied by a geotechnical analysis to determine site-specific mitigation measures. In order to control dust and erosion, four mitigation measures are imposed that include,stabilization of the soil to reduce particulate emissions, requiring the sweeping of area streets, suspending grading operations in high wind conditions,and the use of chemical soil stabilizers. With these mitigation measures, the City Council finds that the impacts to geology and soils will be mitigated to a level of less than significant. Resolution No. 04-211 Page 5 of 67 v. Hazards and Waste Materials. The Project site faces on- going threats of wind-driven fires and is within a hazardous fire area. The Project site was burned during the October 2003 Grand Prix fire, and after the vegetation returns, the area is likely to face additional wind-driven fire risks in the future. To protect against these threats, mitigation measures are imposed that require the development of the site to comply with standards imposed by the Rancho Cucamonga Fire Protection District, and the preparation and implementation of a Fuel Modification Plan. During site planning of any development of the site, fire protection landscaping, design features and planning will be made a part of that development proposal. With these mitigation measures, the City Council finds that the risks of wind-driven fire will be mitigated to a level of less than significant. A. Noise. Although no development project is approved with this Project, during future construction of the site, on-site stationary sources, heavy-duty construction vehicles, and construction equipment, is anticipated to generate noise exceeding City standards. Mitigation measures have been imposed to regulate the hours of construction operations, to require the developer to hire a consultant to perform weekly noise level monitoring, and to impose additional measures if construction noise exceeds City standards. With these mitigation measures,the City Council finds that the short-term noise impacts from the development of the site will be mitigated to a level of less than significant. h. The City Council finds, based on the whole record, including the Initial Study, Mitigated Negative Declaration, comments to the Mitigated Negative Declaration, staff report, and staff and public testimony received at the Planning Commission and City Council hearings,that the Project has the potential for contributing to the cumulative impacts identified in the Program EIR for the 2001 City of Rancho Cucamonga General Plan. Upon approval of that General Plan, the City adopted a Statement of Overriding Considerations of significant adverse environmental effects to aggregate resources, prime farmland, air quality, the acoustical environment, library services, aesthetics and visual resources. Mitigation measures were imposed;however,they did not reduce impacts to less than significant levels. The City Council found that the benefits of the General Plan, including less overall traffic volumes as a result of pedestrian-friendly mixed use development and conservation of valuable open space, outweighed the unavoidable impacts from the General Plan. This Project is within the scope of the General Plan EIR and the City Council finds that by clustering the development into a smaller area, that the changes proposed by this Project are consistent with the General Plan's intent to reduce traffic volumes and preserve open space. Resolution No. 04-211 Page 6 of 67 L The City Council finds that the Mitigated Negative Declaration reflects the independent judgment and analysis of the City Council. Based on all of the findings contained in this Resolution, and the evidence in the record, the City Council hereby adopts the Mitigated Negative Declaration prepared for the project. j. The mitigation measures in the Mitigated Negative Declaration that correspond to the environmental impacts which may result from the Project are hereby adopted and made a condition of approval of, or incorporated into, the Project. k. The City Council has also reviewed and considered the Mitigation Monitoring Program for the Project that has been prepared pursuant to the requirements of Public Resources Code Section 21081.6 and finds that such Program is designed to ensure compliance with the mitigation measures during project implementation. The City Council hereby adopts the "Mitigation Monitoring Plan"attached as Exhibit"F"to the June 16,2004 City Council staff report for this Project. The Mitigation Monitoring Plan shall be used to monitor compliance with the mitigation measures and conditions that have been adopted or made a condition of Project approval as set forth in this Section of this Resolution and in the Mitigation Monitoring Plan. I. The City Council designates the custodian of records for the Initial Study, Mitigated Negative Declaration, Mitigation Monitoring Program, and all other materials which constitute the record of proceedings upon which the City Council's decision is based to be the office of the City Planner of the City of Rancho Cucamonga, located at 10500 Civic Center Drive, Rancho Cucamonga, California 91730. SECTION 2: Application and proposal is hereby made to the Local Agency Formation Commission of the County of San Bernardino for Change of Organization (Annexation) to the City of Rancho Cucamonga for the property described in Exhibit"A"and as shown in Exhibit"B"and as outlined in the Plan of Services as shown in Exhibit "C;' in accordance with the terms and conditions stated above and in the manner provided by the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000. SECTION 3: The City Clerk is hereby authorized and directed to file a certified copy of this Resolution with the Executive Officer of the Local Agency Formation Commission of the County of San Bernardino. Resolution No. 04-211 Page 7 of 67 PASSED, APPROVED, AND ADOPTED this 16`h day of June 2004. AYES: Alexander, Gutierrez, Howdyshell, Kurth, Williams NOES: None ABSENT: None ABSTAINED: None William J. Alexan r, Mayor ATTEST: De a J. Adabl&MC, City Clerk I, DEBRA J. ADAMS, CITY CLERK of the City of Rancho Cucamonga, California, do hereby certify that the foregoing Resolution was duly passed, approved and adopted by the City Council of the City of Rancho Cucamonga, California, at a Regular Meeting of said City Council held on the 16`h day of June 2004. Executed this 17'h day of June 2004, at Rancho Cucamonga, California. Aea dam C, City Clerk Resolution No. 04-211 Page 8 of 67 Sheet 1 of 2 ANNEXATION TO THE CITY OF RANCHO CUCAMONGA EXHIBIT "A" LEGAL DESCRIPTION The Southeast One-quarter and the Southeast One-quarter of the Northeast One-quarter of Section 21, and the West One-half of the Southwest One-quarter and the South One-half of the Southwest One-quarter of the Northwest One-quarter of Section 22, all within Township 1 North, Range 6 West, San Bernardino Meridian, in the County of San Bernardino, State of California, according to the Official Plat of said land on file in the District Land Office. The area to be annexed is approximately 300 acres. See Sheet 2 of 2 for a plat depicting the above described Land. This real property has been described by me, or under my dire 'on, in conformance with the Professional Land S eyor's Act. DS Signatur 30 pHN ires 9/30/05 U NO.4430 Date 0 Exr '^130115 A u/ 1� 1WM1Sa1lwGGa1U�-�\ZWT03-091�IEGAL OF_QUPIION-3JEpAoc W A.P.N.225-084-05 Z �( A A.P.N 216-081-11 5112.SWl/4,NWl/4 A.P.N. 226-061-11 P CENT Q'- SECTON 21 ,,:iU?f% .P.N. _ 126-081-13 A.P.N. APN. 226-081-19 226-081-08 A.P.N. 226-081-18 A.PN, 226-081-17 F A.P.N. 225-084-06 1. No. 15550 A.P.N. P.M.B 197/59-60 ARM 218-061-15 226-081-07 hA.PM �I 2 226-081-16 ry � (V sal g O I O A.P.N. 225-084-07 $1 m c 3 SUMNIi AVE. —� WILSON AVENUE � lP ANNEXATIO AREA LEGEND NSI CRY OF RANCHO CUCAMONOA BOUNOARY WL50 VMNI. ANNEXAOON BOUNDARY <I CITYAj ftANCHO\�. 1 CUCAMONGA (> ANNEXATION AREA+300E ACRESCD �Yd 1s $ N NQAUM W < $R 210 fWY 'C•n 0 O W p Z VICINITY MAP71 (a O xb.ro ac.0 (D (D CD ® ExH1131T PROPOSED ANNEXATION TO CITY Associ to i Jo.CA Inc. SHEET o N 6 Ngo,) r 9l lba z 4 OF RANCHO CUCAMONGA _ �. � (go,) 9 -o n OF AANNEXATION W. 03 2 LAFCO No. Resolution No. 04-211 Page 10 of 67 PLAN FOR SERVICES City of Rancho Cucamonga Planning Division Contact: Brad Buller, City Planner Debra Meier,AICP,Associate Planner Prepared for: Annexation of 300 Acres to the City of Rancho Cucamonga Prepared By: City of Rancho Cucamonga Planning Division 10500 Civic Center Drive Rancho Cucamonga CA 91729 909-477-2750 March 9, 2004 1t y I Plan for Services Resolution No. 04-211 Page 11 of 67 Table of Contents Section Page I. Introduction 4 A. Introduction 4 B. Background 5 II. Planning and Statutory Considerations 9 A. Planning Consideration 9 B. City of Rancho Cucamonga General Plan 9 C. Etiwanda North Specific Plan 10 D. Applicable Laws 10 III. Service Considerations 12 A. Roadways and Transportation Services 12 B. Electricity 12 C. Natural Gas 12 D. Telephone 13 E. Drainage Services 13 F. Water Services 13 G. Sewer Services 14 H. Police Services 15 I. Fire Protection & Ambulance Services 15 J. Libraries 16 K. Street Lighting 16 L. Solid Waste Services 17 M. School Services 17 N. Parks & Recreation Services 17 IV. Fiscal Analysis 19 2 Plan for Services Resolution No. 04-211 Page 12 of 67 EXHIBITS Figure Page 1. Vicinity Map 7 2. Annexation Map 8 3 Plan for Services Resolution No. 04-211 Page 13 of 67 I. Introduction A. Introduction This document has been prepared to provide the San Bernardino County Local Agency Formation Commission (LAFCO) and other interested individuals and agencies with pertinent information relating to governmental functions, facilities, services and costs and revenues applicable to proposed Annexation No. 04-XX to the City of Rancho Cucamonga, California. This annexation proposal has been initiated by the City of Rancho Cucamonga. This document supports the City's petition by addressing all of the service related considerations applicable to the property, thereby permitting the LAFCO Staff and Board Members to fully understand, evaluate and approve the annexation request. This plan of services addresses the basic level of public services that are required to support the future development of the properties annexed and the associated population growth and the manner in which urban and municipal services will be provided. The proposed annexation area is located north of Wilson Avenue between East Avenue and Wardman-Bullock Road, in an unincorporated area of San Bernardino County within the City of Rancho Cucamonga's Sphere of Influence; the area has been pre- zoned by virtue of the City's adoption of the Etiwanda North Specific Plan (ENSP) in 1992. The proposed annexation includes a total of 300-acres. Within the 300 acres, only 95 acres has residential development potential — 40 acres located at the northeast corner of Wilson Avenue and East Avenue, 40 acres located at the northwest comer of Wilson Avenue and Wardman-Bullock Road, and an additional 15 acres located on the west side of Wardman-Bullock Road north of Wilson Avenue. In addition, the annexation area includes 205-acres of land designated Flood Control and Open Space/Conservation and Utility Corridor. There are no specific proposals for development at this time. However, the City has conducted Environmental Review and a General Plan and Etiwanda North Specific Plan Amendments to change the residential land use for 80-acres from Very Low Residential (.1 to 2 dwelling units per acre) to Low Residential (2-4 dwelling units per acre). Future development of the area could yield approximately 218 dwelling units, as illustrated in Table 1 below. 4 Plan for Services Resolution No. 04-211 Page 14 of 67 Table 1 Development Potential PROPOSED LAND USE ACRES ESTIMATED ESTIMATED NUMBER DENSITY OF DWELLING UNITS Very Low R.esidential 15 1.2 18 Low Residential 80 2.5 200 Conservation/Flood 205 NA NA Control TOTAL 300 218 B. Project Background The Etiwanda North Specific Plan comprises approximately 6,840 acres and is located within the City of Rancho Cucamonga and its Sphere of Influence. The project site is located within the unincorporated portion of San Bernardino County. The project includes the annexation of 300-acres from San Bernardino County into the City of Rancho Cucamonga. As part of the approval process, the City of Rancho Cucamonga prepared an Initial Study Environmental Checklist to address issues associated with the Land Use amendments and the annexation. The existing and uses within the annexation area presently comprised of Flood Control facilities (Etiwanda Creek basins), vacant land, and one single-family residence located on Wardman-Bullock Road approximately 2,000 feet north of Wilson Avenue. The surrounding area is a combination of Flood Control land and facilities, single-family residential development or land that is being entitled for single-family development. A summary of surrounding land uses and land use designations are reflected in Table 2 below. Table 2 Surrounding Land Uses Current Land Use General Plan Land Use Etiwanda North Specific Plan Land Use ON-SITE Etiwanda Creek Basins, Open Space/Conservation and Very Low Residential(15 acres), vacant land,one SFR Utility Corridor,Very Low Proposed Low Residential(80 acres), Residential and Flood Control,and Utility Corridor proposed Low Residential NORTH Etiwanda Creek Drainage Open Space/Conservation, Proposed Low Residential, Flood Control Area,Vacant Land/proposed Utility Corridor 77163214-Henderson Creek SOU'T'H Etiwanda Creek Flood Low Residential,Open Etiwanda Specific Plan—Open Space, Control Basins,vacant land Space/Conservation,Flood Low Residential and Very Low Control Residential EAST Single-family residential Very Low Residential Very Low Residential development/Brentwood Estates WEST Vacant land/proposed Low Residential Low residential 77I 6072-Richland 5 Plan for Services Resolution No. 04-211 Page 15 of 67 The City of Rancho Cucamonga is in the process of submitting four separate annexations to the San Bernardino County Local Agency Formation Commission (LAFCO) totaling approximately 800 acres. Each of the proposed annexations is under separate environmental reviews. 6 Plan for Services Resolution No. 04-211 Page 16 of 67 Figure I Vicinity Map ii- ILSON V 2000 0 2000 4000 Feet ETIWANDA CREEK ANNEXATION CNV/CITY BOUNDARY 7 Plan for Services Resolution No. 04-211 Page 17 of 67 Figure 2 Annexation Map Q 22508405 22608111 22608112 22608112 26081 22508406 2 CD6081 Y O OOtO O41 0 00 C-4 04 00 cli N 22508407 co co WILSON N N uuu 2000 0 2000 4000 Feet 0 ETIWANDA CREEK ANNEXATION CITY BOUNDARY 8 Plan for Services Resolution No. 04-211 . Page 18 of 67 II. Planning and Statutory Consideration A. Planning Considerations The proposed annexation area is contained within the City of Rancho Cucamonga's Sphere of Influence. The City's General Plan current land use designation for the site is Very Low Residential (130 acres), Open Space/Conservation (160 acres), and Utility Corridor (10 acres). Of the 130-acres presently designated Very Low Residential, 80 acres are proposed for amendment to Low Residential, and 35 acres are proposed to be amendment to Open Space/Conservation, leaving 15 acres as Very Low Residential. The project is also included in the Etiwanda North Specific Plan, adopted by the City Council on April 1, 1992. At this time the proposed project consists of amendments to both the City of Rancho Cucamonga General Plan and the Etiwanda North Specific, and annexation to the City. No proposals for site-specific development are being considered at this time. B. City of Rancho Cucamonga General Plan The City of Rancho Cucamonga General Plan designation for the 300-acre project site is currently shown as Very Low Residential (0.1 to 2 dwelling units per acre) for 130 acres, Open Space Conservation (i.e. Flood Control) for 160 acres, and Utility Corridor on 10 acres. The General Plan Amendment proposes a change from Very Low Residential to Low Residential for 80 acres (40-acres located at the northeast comer of Wilson Avenue and East Avenue; and 40 acres at the northwest comer of Wilson Avenue and Wardman-Bullock Road). In addition, the General Plan Amendment proposes to change 35 acres from Very Low Residential to Open Space/Conservation, for a total area of 205 acres designated Open Space Conservation. A 15-acre portion of the project area will remain as Very Low Residential. The proposed Low Residential District is intended as an area for single-family residential with a minimum lot size of 7,200 square feet (average lot area of at least 10,000 square feet) and a maximum density of 4 dwelling units per acre; and the Very Low Residential District is intended as an area for single family residential uses with a maximum density of up to 2 dwelling units per acre. In addition, the project site is within the Equestrian/Rural Overlay District. The Overlay District extends generally north of Banyan Street between the western City limits and Milliken Avenue, and then north of I-210 Freeway between Milliken Avenue and eastern City limits. The District allows the keeping of horses and other farm animals. 9 Plan for Services Resolution No. 04-211 Page 19 of 67 C. Etiwanda North Specific Plan The project area is subject to the policies set forth in the Etiwanda North Specific Plan. The Etiwanda North Specific Plan is a specific area acknowledged in the City's General Plan subject to land use and community design within the north Etiwanda area. The Etiwanda North Specific Plan was adopted on April 1, 1992 (Ordinance 493) and comprises of a 6,840 acres within the City of Rancho Cucamonga and the City's Sphere of Influence. The project is located in Sub Areas 2.3, 6, and 8 of the Etiwanda North Specific Plan, portions of the Upper Etiwanda and Etiwanda Highlands neighborhoods. The Etiwanda North Specific Plan designates the site as Very Low Residential, Utility Corridor, and Flood Control. The Very Low Residential portion lies along East Avenue and Wardman-Bullock Road; the Flood Control portion lies between the two residential areas, surrounding the Etiwanda Creek basins and drainage system; and the Utility Corridor portion lies along a portion of the east-west Southern California Edison corridor near the northern segment of the annexation area. The proposed project includes a Specific Plan Amendment that would change the current designation of Very Low Residential (.1-2 Dwelling Unit per Acre) to Low Residential (2-4 Dwelling Units per Acre) for 80-acres of the 300-acre annexation area; and from Very Low Residential to Flood Control for 35-acres. The remainder of the 300-acre annexation area will remain within the existing land use designations of Flood Control and Very Low Residential. D. Applicable Laws LAFCO is authorized and mandated by State law as the agency responsible for evaluating and approving annexations to an incorporated city. Subsequent to the initial consideration of an annexation request by the City, a public hearing is held before the LAFCO Board where the annexation proposal is approved, denied, or modified. The following Protest Procedures for LAFCO proceedings are outlined in California Government Code (within Section 57000) and summarized in the LAFCO Procedures and Guidelines. 1. Following a LAFCO Commission action to approve an annexation, a resolution of that action is forwarded to affected agencies and individuals. Thirty days following the LAFCO Commission action the Protest Period is announced though a combination of publication of a legal advertisement in the local newspaper and through mailing of individual notices to anyone who has previously request such notices. The protest period can be no less than 15 days nor more than 60 days, from the date of the announcement. All protests must follow strict LAFCO requirements, but generally they must be in writing and be received during the protest period. The protest must also indicate whether the letter is from a landowner and/or a registered voter from within the annexation area; only those 10 Plan for Services Resolution No. 04-211 Page 20 of 67 that are either a landowner and/or a registered voter form within the annexation area are eligible to submit a valid protest. 2. At the conclusion of the protest period, LAFCO staff will make a finding of the results of any protests received for adoption by the LAFCO Commission. The Commission must take one of the following actions based on the result of the protest findings: a. For uninhabited annexations (<12 registered voters within the annexation area)the Commission must either: • terminate the annexation if protest is received from 50% or more of the assessed value of land owners (improvement values are not counted) within the annexation area; or • approve the annexation if written protest is submitted by landowners who own less than 50% of the assessed value of the annexation area. b. For inhabited annexations (>12 registered voters within the annexation area) the Commission must either: • terminate the annexation if protest is received from 50% or more of the registered voters in the annexation area; • call an election if protest is received from at least 25% and less than 50% of the registered voters, or if 25% to 100% of the number of landowners —who own at least 25% of the total annexation land value — submit a written protest [The voters (whether they own land or not) would then decide the issue by majority vote in a special election]; or • approve the annexation without an election if written protest is received from less than 25% of the voters and less than 25% of the landowners (owning less than 25% of the land value). The above referenced requirements also require the submittal of a plan for services for areas to be annexed. This document satisfies this statutory requirement. 11 Plan for Services Resolution No. 04-211 Page 21 of 67 III. Service Considerations A. Roadways and Transportation Services The proposed development is not located within any Transit Service Corridor. Primary access will be provided via Wilson Avenue, East Avenue and Wardman- Bullock Road. The annexation area is located on the north side of Wilson Avenue between East Avenue and Wardman-Bullock Road. The proposed project does not include any specific proposals for development at his time. However, based on the analysis in the Environmental Checklist, future development of the residentially zoned properties (95 acres total) will require improvements to East Avenue, Wilson Avenue, and Wardman-Bullock Road at the time of development to accommodate vehicles traveling to and from the site. The future residential projects will be required to provide street improvements (curb, gutter and sidewalk) along all street frontages of the site and within the project, as well as the completion of Wilson Avenue between East Avenue and Wardman- Bullock Road. The City of Rancho Cucamonga will assume responsibility for street maintenance of public arterial roadways within the annexation area. B. Electricity The proposed annexation area lies within the service boundaries of the Southern California Edison Company (SCE). SCE has indicated that the demands associated with the project are accommodated within their master planning efforts and service can be extended to the site. The costs and rate structure to the property owners for these services are controlled by the Public Utilities Commission. As these services are provided by private companies on a user-pays-all fees basis, no additional costs to the City would be incurred due to annexation. Assuming buildout of the approximately 218 lots, electrical consumption for the project site, based on SCE designated criteria, is estimated as follows: 218 dwellings X 7kw/unit= 1,526 kw per month; or 18,312 kw annually. C. Natural Gas Natural Gas is provided by The Gas Company. The Gas Company maintains natural gas pipelines in Etiwanda Avenue and Wardman-Bullock Road. Natural gas service will be provided via extensions of these existing transmission pipelines. The Gas Company anticipates no problems in extending service to the site and has included the project in its master planning efforts. 12 Plan for Services Resolution No. 04-211 Page 22 of 67 The costs and rate structure to the property owners for these services are controlled by the Public Utilities Commission. As these services are provided by private companies on a user-pays-all fees basis, no additional costs to the City would be incurred due to annexation. Annual gas consumption upon development of the site is estimated to be about 85 therms per unit per average month, for a total of 18,530 therms;per month or 222,360 therms per year. D. Telephone Services. The telephone service to the project site is provided by Verizon Communications. The facilities will be extended from Etiwanda Avenue or Wardman-Bullock Road into the respective developable areas of the project site. Verizon anticipates no problems in providing communication services to the project site. E. Drainage Services The majority of the drainage from the annexation area will continue to surface drain to Etiwanda Creek. Future development proposals will be required to convey drainage to the City storm drain system. All streets will be designed to accommodate storm waters that could exceed the top of curbs in the event of a 25-year storm as well as the right-of- way for a 100-year storm. All necessary facilities will be localized in nature and will be inspected and maintained by the City of Rancho Cucamonga Engineering Division. The County of San Bernardino Flood Control District is responsible for the maintenance of the Etiwanda Creek channel and basin system, which lies within the mid-portion of the project site. The San Bernardino Flood Control District has planned improvements to the Etiwanda Creek Basin system. Channel and basin improvements have been designed to capture all flows entering the creek and conveying the flows and then offsite. . F. Water Services The Cucamonga Valley Water District (CVWD) covers approximately 50 square miles, and provides water treatment, storage, and distribution of domestic water to all of Rancho Cucamonga, adjacent unincorporated County areas, and portions of the Cities of Ontario, Fontana and one tract in Upland. CVWD derives water from three sources — groundwater (43%), surface water (12%) and imported water (45%). Groundwater is derived primarily from the Cucamonga basin. Groundwater may also be pumped from the Chino basin, but must be replenished through purchases of State Water Project (imported) water. Canyon water is derived from surface and subsurface water form Cucamonga, Deer, Day, and East Etiwanda Canyons. CVWD 13 Plan for Services Resolution No. 04-211 Page 23 of 67 also purchases water from northern California via the State Water Project. The current daily usage in the CV WD service area is approximately 42 million gallons per day. Residential water use amounts to 60 percent of the total water consumed, followed by landscaping at 20 percent. CVWD's master plan estimates demand needs through the year 2030; with residential water demand is expected to continue to be the greatest sources of water demand. CVWD anticipates growth by ensuring that adequate facilities are available to meet the water demand as it arises. CVWD is also one of seven member agencies that operate under the umbrella of the Inland Empire Utilities Agency (IEUA). The IEUA had adopted a 10-year growth or capital improvement program that is based upon growth projections provided by the member agencies. CVWD is responsible for collecting developer fees for the construction and operation of water facilities. The CVWD will supply domestic water to the site. The site currently contains one exisisitng single-family residence, and which can be assumed to use approximately 640 gallons per day. The remainder of the site is undeveloped. Water is currently provided to the area by a 12-inch main located along Wardman-Bullock Road located along the east boundary of the proposed annexation area. The proposed annexation area holds the potential for approximately 218 single-family residences to be connected to the CVWD domestic water system. Single-family residential units have a daily water demand of 640 gallons per day(GPD). Thus, the project will result in an increased water demand of the CVWD system of 139,520 GPD. This represents a less than one percent increase in water currently demanded from existing development within the City. G. Sewer Services The Inland Empire Utilities Agency (IEUA) currently covers over 240 square miles and operates four wastewater treatment facilities that serve the cities of Rancho Cucamonga, Fontana, Ontario, Upland, Montclair, Chino, and Chino Hills. An additional treatment facility is currently planned. Two of the exisisitng treatment plants, Regional Plants I and 4, serve development within the City of Rancho Cucamonga. CVWD provides conveyance facilities to the treatment plants. The project site is with the service area of treatment plant number 4 (RP-4). RP-4 is located on 6`h Street and Etiwanda Avenue in the City of Rancho Cucamonga. The plant treats approximately 37.9 million gallons per day (MGD) of wastewater and has a capacity of 44 MGD. The water treatment facilities cleanse the treated water to a tertiary level and it is then used for irrigation proposed. Development fees are collected by member agencies for wastewater treatment facilities and passed on to the IEUA to use for new treatment plant construction. 14 Plan for Services Resolution No. 04-211 Page 24 of 67 With the exception of extending pipelines to the project site, there will be no requirement for the construction of a new water or wastewater treatment facilities or expansion of existing facilities. The future projects will connect to the existing sewer lines in the surrounding area. Based on the CVWD Master Plan and IEUA estimates, wastewater generation in the project area is approximately 270 gallons of wastewater per unit per day. Therefore, the 218 residential units proposed will generate approximately 58,860 gallons of sewage per day. This represents less than one percent of current wastewater treated at RP-4, and will not exceed capacity of the plant. In addition, the proposed project will comply with all regional Water Quality Control Board wastewater treatment requirements and will obtain required NPDES (National Pollution Discharge Elimination Systems) and SWPPP (Storm Water Pollution Prevention Plan)permits prior to project construction. H. Police Services The City of Rancho Cucamonga has contracted with the San Bernardino County Sheriffs Department for police service since 1978. Currently the City contract includes 93 uniformed officers — including 11 sergeants, 2 lieutenants and one captain. With a population of 146,700 (January 2003 Department of Finance estimate) the current ratio of officers to residents is approximately 0.63 officers for every 1,000 residents. The projected average response time to an emergency call for serviced within the vicinity of the project site is at five minutes. The City's Police Department is temporarily located at 8340 Utica Avenue in the City of Rancho Cucamonga, the permanent facility at 10510 Civic Center Drive, adjacent to City Hall, is currently being expanded and remodeled. Police service calls will incrementally increase as result of the proposed project. The proposed project will increase population by approximately 685 residents thus creating the need for approximately 0.43 additional officers if the current officer/resident ratio is maintained. The funds for additional police officers are provided as part of the City General Fund. Each year the City's annual budget negotiation with the Sheriffs department results in additional officers to be added to the Police force. I. Fire Protection & Emergency Medical Response The Rancho Cucamonga Fire Protection District (RCFPD) provides fire protection and emergency medical response to approximately 50 square miles, which includes the City Sphere of influence and the project site. Six fire stations are located within 15 Plan for Services Resolution No. 04-211 Page 25 of 67 the City; and the RCFPD currently maintains a personnel ratio of 0.18 firefighter per 1,000 residents. The goal of RCFPD is to provide a five-minute response time for 90 percent of emergency calls placed within the City. Currently the City is providing five-minute service for 85 percent of the emergency calls. Existing fire stations 173, 175 and 176 will serve the project area. Station 173 — 12158 Base Line Road (3 fire fighters) Station 175 — 11108 Banyan Avenue (6 firefighters) Station 176—East Avenue at 23`d Street—(3 firefighters) The proposed project will incrementally increase the population in the vicinity by 685 residents thus creating the need for 0.12 additional firefighter personnel in order to maintain the current firefighter personnel/resident ratio. With the recent opening of Station 176, located approximately one-mile from the site, the current response times will continue to be less than five—minutes to the project site. The RCFPD also participates in an automatic response agreement, known as West End Joint Power Authority(West End),with neighboring fire departments to send the closest fire engine to a reported structure fire without regard to the city boundaries. The American Medical Response (AMR), a private ambulance service, provides ambulance service for the residents in the City of Rancho Cucamonga. AMR is located at 7925 Center Avenue in Rancho Cucamonga. J. Libraries The Rancho Cucamonga Public Library system will serve the project area upon annexation. The Rancho Cucamonga Library is located in a 2,200 square foot building in the City of Rancho Cucamonga on Archibald Avenue, north of Interstate 10 Freeway and west of Interstate 15 Freeway. The Library contains approximately 115,000 books (novels, magazines, references, etc,) and serves a full-time population of over 146,000 residents. In addition, the City has planned a new library within the Victoria Gardens regional shopping center of approximately 22,000 square feet, which serve the projected need at build-out of the City. Library funding is derived form a percentage of the property tax allocation and disbursement with the County of San Bernardino (refer to the Fiscal Impact Analysis). K. Street Lighting The project presently does not contain any streetlights, however, will be required to install streetlights with development. The project will be annexed to the City of 16 Plan for Services Resolution No. 04-211 Page 26 of 67 Rancho Cucamonga's existing City-wide Arterial Street lighting District, and the Etiwanda North Street Light District. L. Solid Waste Burrtec Waste Industries will collect refuse from the project area under franchise agreement with the City of Rancho Cucamonga. Burrtec takes all refuse collected to the Transfer Station of Napa Street, at which point approximately 60% to diverted to the Mid-Valley land fill in Rialto, the remaining refuse is transported out of the county landfill system. The City has implemented recycling programs, as required by state law, local Source Reduction and Recycling Element. M. School Services The annexation area will be served by the Etiwanda School District (grades K through 8) and the Chaffey Joint Union High School District (grades 9 through 12). Based on the generation factors used by the Etiwanda School District, the area will generate approximately 140 K-8 and 30 high school students from the 218 new homes. Approximately 95 of these students would be would be elementary level (K- 5) and 45 would be intermediate level (grades 6-8). The total students generated would be approximately 170. Historical enrollments in both Chaffey Joint Union High School District and the Etiwanda Elementary School District have increased dramatically over the past 10 years. Historical student generation data from the districts indicate the project could generate an addition of approximately 170 students at build out, based on a total of 0.78 students per household. At present enrollments at all schools serving the project are at or over their capacities. However, recent changes in school financing laws indicate that payment of state- mandated developer impact fees represent full and complete mitigation under CEQA, regardless of the enrollment to capacity conditions of the affected schools. N. Parks and Recreation Services The City of Rancho Cucamonga Community Services Department serves the surrounding parks and recreation facilities. The recreational amenities and programs include - Community Center at Lions East and Lions West, Senior Center, Family Sports Center, Epicenter/Sports Complex, and 20 park sites throughout the City. All 17 Plan for Services Resolution No. 04-211 Page 27 of 67 programs and facilities are funded through a combination of user fees and City general fund. 18 Plan for Services Resolution No. 04-211 Page 28 of 67 IV. Fiscal Analysis The project will be annexed to the City of Rancho Cucamonga's existing Landscape Maintenance District No. 7 for perimeter street landscape maintence, the City-wide Arterial Street lighting District, and the Etiwanda North Street Light District. A Fiscal Impact Analysis has been prepared on behalf of the City addressing the general costs and revenue anticipated as a result of the annexation. The report '300-Acre Fiscal Impact Analysis City of Rancho Cucamonga"by Stanley Hoffman Associates, Inc. forms a part of the Plan of Services as an exhibit. By its inclusion into Plan of Services, the City certifies to the report's accuracy. 19 Plan for Services Resolution No. 04-211 Page 29 of 67 FINAL REPORT Etiwanda Creek Annexation Fiscal Impact Analysis City of Rancho Cucamonga Prepared for: ity of f Rancho Cucamonga, California Planning Division 10500 Civic Center Drive Rancho Cucamonga, CA 91730 909-477-2700 May 3, 2004 SRHA#1052 STANLEY R. FJOFFMAN 11661 San Vicente Blvd.Suite 306 y 1 Resolution No. 04-211 Page 30 of 67 CONTENTS Tablesand Figure.......................................................................................................... ii ExecutiveSummary......................................................................................................iii Chapter1 Introduction..............................................................................................1 1.1 Background................................................................................................1 1.2 Approach....................................................................................................3 1.3 Overview....................................................................................................4 Chapter 2 Project Description ............................................:....................................5 2.1 Development Description After Buildout ....................................................5 2.2 Public Infrastructure...................................................................................5 Chapter 3 Projected Fiscal Impacts.........................................................................9 3.1 Rancho Cucamonga General Fund ...........................................................9 3.2 Rancho Cucamonga Fire Protection District............................................12 3.3 Landscape Maintenance District..............................................................12 Chapter 4 Fiscal Assumptions...............................................................................14 4.1 General Information.................................................................................14 4.2 Revenue Assumptions.............................................................................16 4.3 Cost Assumptions....................................................................................23 Appendix A Persons and Agencies Contacted........................................................32 Stanley R.Hoffman Associates,Inc. i Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 31 of 67 TABLES A Summary of Projected Recurring Fiscal Impacts After Buildout.......................... iv 2-1 Buildout Development Description .......................................................................6 2-2 Housing Valuation.................................................................................................7 2-3 Public Street Lane Miles.......................................................................................8 3-1 City General Fund Fiscal Impacts After Buildout................................................10 3-2 Ranch Cucamonga Fire Protection District Fiscal Impacts After Buildout..........13 4-1 General Assumptions .........................................................................................15 4-2 Estimation of Existing City Developed Acres......................................................17 4-3 Summary of Revenue Assumptions....................................................................18 4-4 Estimated Taxable Sales Capture ......................................................................20 4-5 Summary of Cost Assumptions ..........................................................................24 4-6 Police Cost Estimation........................................................................................25 4-7 Estimation of Public Works Costs.......................................................................26 4-8 Estimation of Planning and Building and Safety Costs.......................................28 4-9 Estimation of General Government Costs..........................................................30 FIGURE 1-1 Location Map ........................................................................................................2 Stanley R. Hoffman Associates,Inc. ii Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 32 of 67 EXECUTIVE SUMMARY ETIWANDA CREEK The following is a summary of the projected fiscal impacts of Etiwanda Creek at full buildout assuming annexation to the City of Rancho Cucamonga. Annually recurring fiscal impacts are projected for the City's General Fund and the Rancho Cucamonga Fire Protection District. Project Description The Etiwanda Creek project area is located within the Etiwanda North Specific Plan (ENSP) in unincorporated San Bernardino County. The proposed annexation area, comprised of approximately 300 acres, is generally located north of Wilson Avenue between East Avenue and Wardman-Bullock Road. Approximately 205 acres of the area is characterized by Etiwanda Creek, including the spreading basins,drainage system and conservation area. Etiwanda Creek area could generate a (there is no development proposal currently submitted) residential development of 218 homes on about 95 gross acres. The population for Etiwanda Creek is projected at 686,assuming 3.15 persons per unit. Assessed valuation is projected at $120.5 million based on an average housing valuation of$552,672 per unit. Fiscal Impacts Table A presents the projected recurring fiscal impacts to the City's General Fund and the projected recurring revenues to the Rancho Cucamonga Fire Protection District. The City of Rancho Cucamonga provides a full range of public services, including: police protection; other related emergency/non-emergency services; public works, including engineering, road maintenance and park maintenance; community services; planning services; library services and general government. The Rancho Cucamonga Fire Protection District provides fire protection to the proposed project as a subsidiary district. In addition, a landscape maintenance district (LMD) is a separate entity that covers the maintenance of storm drains,slopes, detention basins,trails or a combination thereof. The LMD has no effect on the revenues and costs presented Stanley R. Hoffman Associates,Inc. Ili Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 33 of 67 under the City General Fund. Fiscal impacts are presented in constant 2004 dollars,with no adjustment for future inflation. TABLE A ETIWANDA CREEK CITY OF RANCHO CUCAMONGA SUMMARY OF PROJECTED RECURRING FISCAL IMPACTS AFTER BUILDOUT (In Constant 2004 Dollars) No MVLF Impact Impact of MVLF' A. City General Fund $247.237 $220,473 Recurring Revenues 152,281 152,281 Direct Recurring Costs 22,842 22.842 Plus Contingency @ 15%of Direct Costs 175,123 175,123 Total Recurring Costs 72,114 45,351 Net Recurring Surplus Revenue/Cost Ratio 1.41 1.26 B. Rancho Cucamonga Fire Protection District Revenues $150,161 $150,161 Notal: TMs assurres that lawn..from MVLF will be reduced by about 1 tlhlyds due to State budge)cute_ sou : Stanley R.Nofiman AssOchl*s,Inc. Stanley R.Hoffman Associates,Inc. iv Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 34 of 67 Property tax rates for the project area are based on information provided by the San Bernardino County Local Agency Formation Commission, the County of San Bernardino Auditor-Controller's office and the City of Rancho Cucamonga. Due to uncertainty in the full impact of the ongoing State of California's budget adjustments overtime,a hypothetical decrease in the Motor Vehicle License Fee has been used in this analysis to test potential changes. However, it is recognized that the actual changes may manifest themselves in different ways. City General Fund -No MVLF Reduction An annual recurring surplus of$72.1 thousand is projected for the City General Fund after full buildout of Etiwanda Creek. The projected surplus is based on revenues of$247.2 thousand, and costs of $175.1 thousand, including a 15 percent contingency costs estimate. The revenue/cost ratio for the City General Fund is estimated 1.41. The major recurring revenues projected forthe City General Fund are property tax;off-site retail sales and use tax; and motor vehicle license in-lieu revenues. Projected major recurring costs forthe project are police protection and public works maintenance of public arterial and local roadways in the annexation area. A landscape maintenance district will maintain landscaping, slope areas, trails and landscaped parkways and medians. City General Fund -With MVLF Reduction Under this scenario it is assumed that revenues from the State for motor vehicle license fees will be reduced by about two-thirds due to budget cuts at the State level. An annual recurring surplus of$45.4 thousand is projected forthe City General Fund afterfuil buildout of Etiwanda Creek. The projected surplus is based on revenues of$220.5 thousand,and costs of $175.1 thousand, including a 15 percent contingency costs estimate. The revenue/cost ratio for the City General Fund is estimated 1.26. Potential Impacts of Recent Passage of Proposition 57 According to the March 16, 2004 City Budget Update memorandum from City Manager, Jack Lam, one outcome of the recent passage of Proposition 57 is that the City will experience a%cent sales tax shift to the State instead of the earlier''/2 cent shift proposal. While this would reduce the sales tax generated by the residents of the project by about Stanley R.Hoffman Associates,in c. v Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 35 of 67 $13.3 thousand,the project would still be estimated to have an annual recurring surplus of approximately$58.8 thousand to $32.0 thousand. Rancho cucamonga Fire Protection District The Rancho Cucamonga Fire Protection District(RCFPD)service area currently includes the incorporated City of Rancho Cucamonga and the City's Sphere of Influence;therefore the proposed Etiwanda Creek development is currently located within the RCFPD jurisdictional boundaries. Based on the information provided by the City, the RCFPD currently has adequate funding to provide fire protection services within its jurisdictional boundaries. The Etiwanda Creek development will contribute annual property tax and earned interest revenues projected at$150.2 thousand to the RCPFD. Landscape Maintenance District The proposed storm drain, landscaped slopes, detention basins and trails are to be maintained by a landscape maintenance district. At this time it has not been determined if the project facilities will be included in a new LIVID to be formed, or if it will be annexed to an existing LIVID. Under either scenario, the maintenance of the common area landscaping, slopes, and trails will not impact the City of Rancho Cucamonga General Fund. Stanley R.Hoffman Associates,Inc. vi Etiwanda Creek Annexation Fiscal City of Rancho Cucaamonmon ga May 3,2004 Resolution No. 04-211 Page 36 of 67 CHAPTER1 INTRODUCTION This report presents the fiscal impact analysis for Etiwanda Creek assuming annexation to the City of Rancho Cucamonga. The fiscal impact analysis projects recurring public revenues and costs to the City of Rancho Cucamonga General Fund and the Rancho Cucamonga Fire Protection District assuming full development of the project. The Rancho Cucamonga Fire Protection District is a subsidiary district with its own budget separate from the City's General Fund. Additionally, an LMD will be, used for the operations and maintenance of common areas, but it has not been determined if Etiwanda Creek will annex into an existing LMD or if a new one will be created. 1.1 Background The property comprising Etiwanda Creek is located in the northeast portion of the City of Rancho Cucamonga's Sphere of Influence in the unincorporated area of San Bernardino County. As shown in Figure 1-1, the project is generally located north of Wilson Avenue between East Avenue and Wardman-Bullock Road. Upon annexation,the entire project would be within the City limits of Rancho Cucamonga. Etiwanda Creek is a community of about 300 gross acres in size,of which some 95.0 acres are proposed for residential development. The other 205 acres are allocated for spreading basins, drainage system and conservation areas. Potential development within the area is estimated at 218 residential dwelling units for an overall density of about 0.7 units per total acre and 2.3 units per residential acre. The buildout population of the area is estimated at 686 based on a factor of 3.15 persons per unit. The focus of the fiscal analysis is the ongoing operations and maintenance costs of the City of Rancho Cucamonga as provided through the General Fund revenues plus the Fire Protection District revenues and costs. General Fund revenues include property,sales and use taxes and other taxes; franchise fees; fines and forfeitures; licenses and permits; charges for current services; revenues from other agencies; use of money and property; Stanley R.Hoffman Associates, Inc. 1 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 37 of 67 FIGURE 1-1 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA LOCATION MAP €€C 'sF E a WM180N.w... ETIWANDA CREEK ANNEXATION LOCATION MAP Stanley R.Hoffman Associates, Inc. 2 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 38 of 67 and other miscellaneous revenues. The Gas Tax Fund receives revenues primarily from gasoline taxes collected by the Federal and State governments and are restricted for road related capital and operations and maintenance costs. The ongoing range of services that the City of Rancho Cucamonga provides includes: • Police protection • Planning • Public works, including engineering, road maintenance and park maintenance • Community services • Library services • General government The Rancho Cucamonga Fire Protection District, as a subsidiary district governed by the City Council, provides fire protection services to the City and the Sphere of Influence area. 1.2 Approach The fiscal analysis presents the projected recurring impacts of the proposed development associated with Etiwanda Creek. Fiscal impacts are projected for the City General Fund and the Rancho Cucamonga Fire Protection District. The fiscal analysis is based on data and assumptions from the following sources: • City of Rancho Cucamonga revenue and cost factors are estimated based on the General Fund Adopted Budget Fiscal Year 2003/2004 and discussions with key City staff. • The fiscal methodology is based on the Fiscal Analysis, General Plan Update, City of Rancho Cucamonga, prepared by Stanley R. Hoffman Associates, October 2, 2000. • Some project information was obtained from the Plan for the Provision of Municipal Services,Annexation No. 01-01 to The City of Rancho Cucamonga, prepared by the City, November 5, 2001. • Residential valuation estimates are based on sales data provided by similar projects that have been developed or proposed in the City or within the sphere of influence. • Estimated population is based on 3.15 persons per household,as provided by the City of Rancho Cucamonga. • Cost and revenue factors are projected in constant 2004 dollars, i.e., not adjusted for inflation. • Existing land uses are provided by the City of Rancho Cucamonga. Stanley R.Hoffman Associates,Inc. 3 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 39 of 67 • Property tax rates for the project area are based on information provided by the San Bernardino County Local Agency Formation Commission, the County of San Bernardino Auditor-Controller's office and the City of Rancho Cucamonga. • Also, there is uncertainty in the full impact of the ongoing State of California's budget adjustments over time. For this analysis, a hypothetical decrease in the Motor Vehicle License Fee has been used to test potential changes. However, it is recognized that the actual changes may manifest themselves in different ways. 1.3 Overview Chapter 2 presents the detailed project description for Etiwanda Creek assuming full buildout of the project area. Chapter 3 presents the fiscal analysis for the City's General Fund and the Rancho Cucamonga Fire Protection District. Chapter 4 presents the assumptions forthe fiscal analysis and Appendix A includes a list of persons and agencies contacted in the preparation of this report. Stanley R.Hoffman Associates,Inc. 4 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 40 of 67 CHAPTER PROJECT DESCRIPTION This chapter presents the detailed development description for Etiwanda Creek assuming full buildout of the area. 2.1 Development Description After Buildout Acres, Units and Population. Etiwanda Creek area has a total potential of 95-acres residential land for 218 single family detached homes. As shown in Table 2-1, there are approximately 95 gross acres of residential uses. Other acreage associated with the development includes 205 acres of conservation space/flood control areas. Of the 95 acres, some 15 acres are proposed for 18 units and the remaining 80 acres are proposed for 200 units. The respective average densities are 1.2 dwelling units per acre and 2.5 dwelling units per acre with an overall density of about 2.3 units per residential acre. Buildout population for the Etiwanda Creek area is estimated at 686 persons based on an average of 3.15 persons per housing unit. Population per housing unit is based on information from the City of Rancho Cucamonga. Project Valuation. As shown in Table 2-2, total residential valuation for the Etiwanda Creek area is estimated at $120.5 million after buildout, based on an average value of $552,672 per unit. As presented in Table 2-2, the valuation is derived via a weighted average of other single family detached units of comparable developments that have been proposed for annexation to the City of Rancho Cucamonga. The comparable units have a combined estimated valuation of$414.50 million spread across an estimated 750 single- family units. 2.2 Public Infrastructure Streets. Primary access to Etiwanda Creek will be provided via Wardman-Bullock Road. As shown in Table 2-3, there is an estimated 6.61 street lane miles to be developed as a part of the project; this includes local streets within the project boundaries of Etiwanda Creek. All 6.61 lane miles of streets are assumed to be public streets maintained by the City of Rancho Cucamonga, once annexed by the City. The local street lane miles are Stanley R.Hoffman Associates,Inc. 5 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 41 of 67 TABLE 2-1 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA BUILDOUT DEVELOPMENT DESCRIPTION Acres at Percent Buildout of Total A Land Use Acreage Gross Residential Acres @ 1.2 units per acre 15.0 5.0%80 0 26.7% Gross Residential Acres @ 2.5 units per acre Conservation/Flood Control Areas 205.0 683% Total Project Acres 300.0 100.0% B. Other Project Information units per acre 18 8.3% 1.2 Residential Units-Single-family @ P 200 91.7% Residential Units-Single-family @ 2.5 units per acre 218 100.0% Total Units 3.15 persons per unit)2 686 Population(@ P P ) Residential Assessed Valuation(@$552,672 per unit)' $120,482,519 Nota: 2. Population is estimated at 3.15 persons per unit,per the City of Rancho Cucamonga :3. Assessed valuation Is projected at an average value of$552,672 per unit based on information from other simper residential annexation proposals within the Rancho Cucamonga sphere of influence. sources: stanley R.Hoffman Associates,Inc. Stanley R. Hoffman Associates,Inc. 6 Eliwanda Creek Annexation Fiscal Analysis City of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 42 of 67 TABLE 2.2 HENDERSON CREEK ESTATES CITY OF RANCHO CUCAMONGA HOUSING VALUATION (in Constant 2004 Dollars) Plan Other Proposed Developments Within Unit Base Price Total T e the Rancho Cucamonga SOI Quanti Per Unit Valuation 1 Henderson Creek Estates 30 $640,000 $19,200,000 2 Henderson Creek Estates 31 665,000 20,615,000 3 Henderson Creek Estates 31 690,000 21,390,000 4 Henderson Creek Estates 31 720,000 22,320,000 1 Etiwanda Heights 54 520,000 28,080,000 2 Etiwanda Heights 54 560,000 30,240,000 3 Etiwanda Heights 80 600,000 48,000,000 4 Etiwanda Heights 81 620,000 50,220,000 n/a' TTM 16072 358 487,260 174.439.080 750 $552,672 $414,504,080 Plan Unit Base Price Total T e Proposed Project Valuation Quantity Per Unit Valuation 1 Etiwanda Creek 18 $552,672 $9,948,098 2 Etiwanda Creek 200 552.672 110.534.421 218 $552,672 $120,482,519 Nota: t.nM IM72 b Wine pgxzsetl m a nnasbr d-.ober Proceaa' .!,y¢nand oieceb arM wll be Wd W nolN W W.p tnnefdre no spe e*4ion by qan ypsu 2v ihblc S..: Stanley R.Na bMsooajM.Inc. Stanley R.Hoffman Associates,Inc. 7 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 43 of 67 estimated using a factor of 80 lineal feet per dwelling unit and is based on similar developments proposed for annexation to the City of Rancho Cucamonga. TABLE 2-3 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA PUBLIC STREET LANE MILES C Estimated Estimated Estimated Number Length Length Total Street Type of Lanes in Feet in Miles Lane Miles Local 2 17,440 3.30 6.61 Total Lane Miles 6.61 Notes: 1. Local street lane miles are estimated using a factor of 80 lineal feet per unit. source: Stanley R.Hoffman Associates,Inc. 8 Etiwanda Creek Annexation Fiscal Analysis Stanley R.Hoffman Associates,Inc. City of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 44 of 67 CHAPTER PROJECTED FISCAL IMPACTS This chapter presents the fiscal analysis of Etiwanda Creek to the City of Rancho Cucamonga. This analysis first focuses on the recurring revenues and costs that impact the City of Rancho Cucamonga's General Fund,described in Section 3.1. This is followed by a projection of recurring revenues to the Rancho Cucamonga Fire Protection District presented in Section 3.2. All projections are presented in constant 2004 dollars with no adjustment for future inflation and assume full buildout. 3.1 Rancho Cucamonga General Fund The fiscal impacts presented assume that the City of Rancho Cucamonga will receive 7.0 percent of the 1.0 percent basic property tax levy for the General Fund and 1.7 percent of the basic levy for the Library Fund. Impacts are also presented assuming: 1)no impact on MVLF fees; and 2) a two-thirds reduction in MVLF fees due to proposed State budget adjustments. No Impact on MVLF Table 3-1 presents the projected fiscal impacts for the City's General Fund assuming that there is no reduction in revenues received from the State in the category of motor vehicle license fees. Recurring revenues are projected at $247.2 thousand. Annual direct recurring costs are projected at$152.3 thousand. Added to the projected direct costs is a contingency cost, calculated at 15 percent of direct costs, or$22.8 thousand. Adjusted total recurring costs, including estimated direct costs and contingency costs,are projected at $175.1 thousand. A recurring surplus of $72.1 thousand is projected for Etiwanda Creek, as shown in Table 3-1. The revenue/cost ratio is calculated at 1.41. Projected Revenues. Projected recurring revenues to the City of Rancho Cucamonga General Fund include property tax; property transfer tax;off-site sales and use tax; motor vehicle license in-lieu revenues; Proposition 172 sales tax; franchise fees; fines and forfeitures; charges for services; other revenue; library revenue; and state gasoline tax. Stanley R. Hoffman Associates,Inc. 9 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 45 of 67 TABLE 3-1 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA CITY GENERAL FUND FISCAL IMPACTS AFTER BUILDOUT' (In Constant 2004 Dollars) No MVLF Ira act Impact on N9/LF' After Percent Ager Percem Buildout of Total Buildout of Total Annual Re urr na Re e.L nues $84,338 34.1% $84,338 38.3% pmperry tax_general fund library fund 20,482 8.3% 20,482 9.3% property tax- PropeAy transfer mz 4,639 1.6% 4,639 2.1% Off-site sales and use tax 53,374 21.6% 53,374 24.2% Morar vehlde license iMieu 40,145 16.2% 13,382 6.1% 1,093 0.4% 1,093 0.5% proposition 172 sales lax 8,575 3.5% 8,575 3.9% ' Franchise fees: utility 5,489 2.2% 5,489 2.5% Franchise fees: refuse 13,016 5.3% 13.016 5.9% Franchise fees: cable 3,741 1.5% 3,741 1.7% Fines rind forfeitures 426 0.2% 426 0.2% charges for services 350 0.1% 350 0.2% Other revenue 1,031 0.4% 1,031 0.5% Library revenue 10y_9 4.3% 10_539 4.8 State gasoline tax' Total Retuning Revenues $247,237 100.0% $220,473 100.0 Arrant I Remr MRCosts $52,748 34.6% $52,748 34.6% Police Protection 1,827 1.2% 1,827 1.2% Animal control 14,204 9.3% 14,204 9.3% Engineering 30,162 19.8% 30,162 19.8% Public works maintenance 2 785 1.8% 2.785 1.8% Fadlifies maintenance 6,580 4.3% 6,580 4.3% Planning 8849 5.8% 8,849 5.8% Ubrary 10,934 7.2% 10,934 7.2% Community ser'icas 4,023 2.6% 4,023 2.6% contribution to Fire District 20,170 13-2% 20.17 13.2% General gowmment Direct Rearing Costs $152,281 100.0% $152.281 100.0% plus $22,842 Estimated Contingency mots(Q 15%of direct recurring casts) $E 5;843$ 175,123 Total Rearing Costs NW Annual Surplus $72,114 $45,351 RwenuMCost Rffib 1.41 1'26 Note: I. Ravaeas antl rnxs tar Me PMegbn services antl comrtmn area IandxoePhV ora m✓erd In separate distrkls and ate rat mduuded es a pan 0 o Gm lFu,m analyab, z.mis asw,rcs aw me wocaaan m mmor.anae m.avu lea Herm IM supe m me ronllwabcnm xa w,wcea ar rwlNms ae m C,anpea Nomaxm alapamrenb. 3. Scala gasdi+�a tax c eannerked for puck volka mad maFlerence. Source: Star,,I NPmaan Asaxialm,Inc Stanley R.Hoffman Associates,Inc. 10 Etiwanda Creek Annexation Fiscal Analysis City of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 46 of 67 The largest projected revenue source is property tax at $84.3 thousand, representing approximately 34.1 percent of total projected recurring revenues. Off-site sales and use tax is the second largest projected revenue source at$53.4 thousand and 21.6 percent of the total revenues. Motor vehicle license in-lieu revenues are projected at$40.1 thousand and 16.2 percent, the third largest recurring revenue. These three revenue sources represent approximately 71.9 percent of total projected recurring revenues. Proiected Costs. Table 3-1 also presents projected recurring costs to the City General Fund for Etiwanda Creek at buildout. Recurring direct costs to the City of Rancho Cucamonga General Fund include police protection; animal control, engineering; public works maintenance; facilities maintenance; planning; library; community services; contribution to the Fire District; and general government costs. Police protection costs are projected at about$52.7 thousand and account for 34.6 percent of the total recurring annual costs. Public works maintenance for public roads is projected at$30.2 thousand and 19.8 percent of the total recurring costs. General government costs (administrative functions)are projected as the third largest recurring cost at$20.2 thousand or 13.2 percent of total projected costs. These three projected costs of police protection, pubic works maintenance and general government represent approximately 67.6 percent of total recurring costs. Impact on MVLF Table 3-1 also presents the projected fiscal impacts for the City's General Fund assuming it is impacted with a reduction in revenues received from the State in the category of motor vehicle license fees. Recurring revenues under this scenario are projected at $220.5 thousand. Adjusted total annual recurring costs, including estimated direct costs and contingency costs, are projected at $175.1 thousand. A recurring surplus of $45.4 thousand is projected for Etiwanda Creek under these conditions.The revenue/cost ratio is calculated at 1.26. Proiected Revenues. The largest projected revenue source is General Fund propertytax at $84.3 thousand, representing approximately 38.3 percent of total projected recurring Stanley R.Hoffman Associates,Inc. 11 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 47 of 67 revenues. off-site sales and use tax is the second largest projected revenue source at $53.4 thousand and 24.2 percent of the total revenues. Library Fund property tax revenues are projected at$20.5 thousand,the third largest recurring revenue. These three revenue sources represent approximately 71.8 percent of total projected recurring revenues. 3.2 Rancho Cucamonga Fire Protection District The Rancho Cucamonga Fire Protection District(RCFPD)provides fire protection to both the corporate City and the Sphere of Influence areas.,Etiwanda Creek is located within the jurisdictional boundaries of the RCFPD. Table 3-2 presents the projected recurring revenues to the Fire Protection District from the full buildout of Etiwanda Creek. Annual recurring property tax revenues are projected to total $150.2 thousand after buildout. Annual recurring fire protection costs are not projected for the Etiwanda Creek development. Based on the Plan for the Provision of Municipal Services Annexation No. 01-01 to the City of Rancho Cucamonga prepared by the City, the RCFPD currently has adequate funding to provide fire protection within its jurisdictional boundaries. 3.3 Landscape Maintenance District For Etiwanda Creek,an LIVID will be used to fund the ongoing operations and maintenance costs related to any storm drains, slopes and trails within the project area. It has not been determined at this time whether or not Etiwanda Creek will be annexed to an existing LIVID of if a new LIVID will be created. Under either condition, the costs related to this function are entirely separate from the City's General Fund and there will be no fiscal impact on the City's General Fund. Stanley R. Hoffman Associates,Inc. 12 Etiwanda CreekCity of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 48 of 67 TABLE 3-2 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA RANCHO CUCAMONGA FIRE PROTECTION DISTRICT FISCAL IMPACTS AFTER BUILDOUT (In Constant 2014 Dollars) Aker BuPercent Annual Recurrina Revenues ildout of Total Property tax $150,161 100.0% Total Recurring Revenues $150,161 100.0% Annual Recurring Costs n/a' Note: 1. The proposed development Ilas within the Judsdictlonal boundaries of the Rancho Cucamonga Fire Protection District(RCFPD). Based on the Plan for the Provision of Municipal Services Annexation No.01-01 to The City of Rancho Cucamonga prepared by the City,the RCFPD currently has adequate funding to provide fire protection services vrithin its jurisdictional boundaries. Source: Stanley R.Hoffman Associates,Inc. Stanley R. Hoffman Associates,Inc. 13 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 49 of 67 CHAPTER 4 FISCAL ASSUMPTIONS Chapter 4 presents the recurring revenue and cost assumptions used in preparing the fiscal analysis for Etiwanda Creek in the City of Rancho Cucamonga. 4.1 General Information Table 4-1 presents the general City information used to calculate fiscal factors. Population.The City population of 146,666 is based on the California State Department of Finance estimate as of January 1, 2003. The population estimate is used to project per capita revenue and cost factors. Housing Units. For calculating per housing unit factors,the City housing unit estimate of 46,870 from the State Department of Finance (DOF) for January 1, 2003 is used. Using the DOF information, persons per housing unit is about 3.13,this analysis uses a ratio of 3.15 persons per household as provided by the City of Rancho Cucamonga. Employment. Based on information from the City of Rancho Cucamonga, the City's current employment estimate is 47,205. This estimate is used to calculate revenues and costs based on employment. Population/Employment Ratio. New population and employment generate some revenues and costs,which are calculated based on the split of population and employment and the ratio of each to the sum of the two. The sum of population and employment is 193,871. Population represents 76 percent of the total and employment represents 24 percent of the total. The projected City revenues or costs are split based on this ratio. That is, the share of projected revenues or costs allocated to population is divided by the City population of 146,666 while the employment share of the projected revenues or costs is divided by the City employment estimate of 47,205. Estimated Total City Developed Acres. Some costs,such as public works and planning, are projected on a per-developed acre basis. The number of developed acres within the City is estimated from City's Geographic Information System(GIS)and CoStar databases, Stanley R.Hoffman Associates,Inc. 14 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 50 of 67 TABLE 4.1 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA GENERAL ASSUMPTIONS =Factor Explanation General Factors 146,666 Rancho Cucamonga total population,January 1,2003,DOF 46,870 Rancho Cucamonga total housing units,Jan Community ary 1, an03,dOF Economic Profile 47,205 Rancho Cucamonga total employment,City 193,871 Population plus employment 76% Population as a share of population plus employment 24% Employment as a share of population plus employment 3.13 Persons per Household.January 1,2003,DOF 3.15 Persons per Household,City of Rancho Cucamonga 12,990 Estimated total City developed acres Swm,: Stanley R.Hoffman Associates,Inc. City of Rancho Cucamonga,Fiscal Year 2003104.Adopfed Budget City of Rancho Cucamonga State of Califomia,Department of Finance,CltyiCounty Population and Housing Estimates,2003 Stanley R.Hoffman Associates, Inc. 15 Etiwanda Creek Annexation Fiscal Analysis City of Rancho Cucamonga, May 3, 2004 Resolution No. 04-211 Page 51 of 67 as shown in Table 4-2. There are an estimated total of 9,544 developed residential acres in the City; and a total of 3,446 developed non-residential acres within the City. In total, 12,990 developed acres are within the City. 4.2 Revenue Assumptions The revenue assumptions for the City's General Fund are summarized in Table 4-3.Table 4-3 also summarizes the revenue assumptions for the Fire Protection District. Projected recurring revenues to the City General Fund include property tax; document transfer tax; off-site sales and use tax; Proposition 172 sales tax revenue; franchise fees; fines and forfeitures; motor vehicle license in-lieu revenues; charges for services; other revenues such as rental/leases/and sales of fixed assets; library revenues and state gasoline tax funds. Interest revenues are not projected in this analysis. Taxes Property Tax. Property tax revenues are projected by multiplying the tax allocation percentage for the City of Rancho Cucamonga's General Fund, Library Fund and the Rancho Cucamonga Fire Protection District by the projected assessed value within the tax rate area (TRA)in which the project is located. As shown in Table 4-3,the City of Rancho Cucamonga General Fund allocation is shown at 7.0 percent of the basic 1.0 percent levy. Document Transfer Tax. Real property sales are taxed at a rate of$1.10 per$1,000 of transferred property value. The property transfer tax is divided equally between the City and the County,with the City receiving$0.55 per$1,000 of transferred property value. As presented in Table 4-3, it is assumed that residential development will change ownership at an average rate of about 7.0 percent per year, or that each home changes hands on the average of about once every 14 years. Offsite Sales Tax. The City receives sales tax revenue from the State Board of Equalization equal to one percent of all taxable sales generated within the City. The Etiwanda Creek development does not include on-site retail uses that would generate direct taxable sales and use tax to the City upon annexation. However, indirect sales and use tax revenues will be generated from purchases made by the residents of the Stanley R.Hoffman Associates,Inc. 16 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 52 of 67 TABLE 4-2 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA ESTIMATION OF EXISTING CITY DEVELOPED ACRES' Residential Acres 8,261 Residential-Non RDA 1,2_83 Residential-RDA y 544 Subtotal Residential Acres Non-Residential Acres 747 Non-Residential-Non RDA 2,699 Non-Residential-RDA 3,446 Subtotal Non-Residentiat Acres Estimated Total Developed Acres 72,990 Note: 1. Esitmated City right of way and other public/quasi public acres are not included as developable acres. Sou=: swnwy R.Hoffman Associalm Inc. city of Random Cucamonga.Geographic Info,magon system swnley R.Hoi an Associates,Fiscal Analysts,Gemml Pian Update,Gly&Rancho cuc noa,OdOW 2,2000 Stanley R.Hoffman Associates,Inc. 17 Etiwanda CreekCity of Renchoon lSCucamonga May 3,2004 Resolution No. 04-211 Page 53 of 67 TABLE 4-3 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA SUMMARY OF REVENUE ASSUMPTIONS (In Constant 2004 Dollars) Revenues Projection Projection Method Annual Revenue Source FY 2003-04 Basis andhor Assumptions Projection Factors CITY GENERAL FUND Property Taxes ffi,261,600 pssexxxovluavon Valuation assumpbons 7.0%Gy General Fund alipation Of basic I%levy Document Transfer Tax 730,540 Assessed wluaddn Propenylumoverandwivalion 7%residential turnover is $0.55 per$1,000 of Wmover v,Wad. Sales and Use Tax 14,626.000 Taxable sales Off-site taxable sales 1.0%of taxable sales PW 0.1075%of sales tax Proposition 172-Hall Cant sales Tax 2aI Total sales and use tax Per$1,000 of salesane use tax $20.46 W$1,000 sales am use tax Franchise Fees: Gas 8 Bec01c 2,423,160 Total population and employment Per capita ane employee $12.50 per capita and per employee Refuse 1,173,379 Total population per opila $6.00 per capita 1,309,000 Total emplolrnanl Per employee $27.73 per employee cam 689,260 Total housr,ural Per unk $18.97 peruna Flrws 8 Forfeitures 1,057,180 Total population and employment P4 capita ares employes $5.0.5 per capita and per employee Motor Vehicle License 6,WZ310 Tow Population percapila $5852 percapit, Charges for S"oee 120,460 Trial population aid employment Par capila and employee $0.62 per capita and per employee Rena,Mease;III of Fixed Assels 96,830 Total population and employment Par opts and amploylee $0.51 per capila and per employee Interestarnimge 500,000 Percent of fund revenues Interest rate not projected Library Fund Property Taxes Na' Assessed valuation Valuation assumptions 1.7%Gy Library Fund aaocetipn Of bask 1%levy Library Fines ares Fees 118,000 Total population Per capita Saw per capita Library Rentals5ales 102,500 Total popubtlon Per capita $0.70 per cap8a Interest EannI 15,000 Percent of fundi revenues Inreresl cafe not projected Gas Tax Fund Slate Gas Tax: Section 2105 738,000 Tolal populabon per capita $5.93 per capila SeMbn 2106 461 Total popula. Per capita $3.18 peropus SecEorI 1,0491 Total populatien Perm" $7.15 per cap0a Interest Earnings Percenloffundnv ues Interest rale nor projected RANCHO CUCAMONGA FIRE DISTRICT Properly Tax 7.552,820 Assessed valuation Valuation murnphona 12.46%County Fire Fund alleralbn of basic 1%levy Interest F-amings _ 98,080 Percent Mf�rd revenues t 1 rate not projected Nates: 1. In escal law 200Y01,ties revenw sows esti rot exist br Me CXY Source:$.I,R.I14mwn Aseoda4r.Inc. LM M Kendra Curamrge.Racal Year 2001111,Adop(od nyd9el Sh19 or Caffan4.DepamnaMof Enterra.CiryKouny Popuhpon a,M Houahg Estimate;January f,2001 Stanley R. Hoffman Associates, Inc. 18 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 54 of 67 proposed project estimated to be captured within the City. It is assumed the City of Rancho Cucamonga will capture 50 percent of the taxable purchases made by the future residents of Etiwanda Creek. The 50 percent capture assumption is based on the access to existing and planned retail within the City boundaries, including the future Victoria Gardens Regional Mall due to open in 2004. Residential Sales and Use Tax. Residents of Etiwanda Creek will generate sales and use tax to the City of Rancho Cucamonga through retail purchases in the City. As shown in Table 4-4, taxable sales from Etiwanda Creek residents are projected at$9.64 million. Taxable sales are projected based on the assumption that the average household income of project:residents represents about 25 percent of the total assessed valuation and that 32 percent of household income is spent on taxable retail sales. The fiscal analysis assumes the City will capture 50 percent of total taxable retail sales or about$4.82 million in taxable retail sales. Based on sales tax of 1 percent, potential sales tax to the City is projected at $48.2 thousand after buildout. At 10.75 percent of sales tax, use tax is projected at $5.2 thousand after buildout. Use tax is non-situs taxable sales allocated back to jurisdictions by the State. Total sales and use tax is projected at$53.4 thousand after buildout. According to the March 16, 2004 City Budget Update memorandum from City Manager, Jack Lain, one outcome of the recent passage of Proposition 57 is that the City will experience '/4 cent sales tax shift to the State instead of the earlier 1/2 cent shift proposal. While this would reduce the sales tax generated by the project residents by about$13.3 thousand, the project would still be projected to have an annual recurring surplus of approximately$58.8 thousand to $32.0 thousand. Use Tax, In addition to sales tax, the City also receives a use tax allocation equal to approximately 10.75 percent of the one percent sales tax allocation. The use tax factor is derived from two major sources: Etiwanda Creek Stanley R.Hoffman Associates,Inc. 19 CitAnnexation s f RanchoCucamonga May 3,2004 Resolution No. 04-211 Page 55 of 67 TABLE 4-4 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA ESTIMATED TAXABLE SALES CAPTURE (in Constant 2004 Dollars) Description Amount Residential Assessed Valuation(@$552,672 per unit)' $120,482,519 Household Income(@ 25%of valuation) $30,120,630 Retail Taxable Sales(@ 32%of household income) $9,638,602 Projected Off-Site Taxable Sales Captured in Rancho Cucamonga(@ 50%capture) $4,819,301 Projected Sales and UseTax to Rancho Cucamonga, Sales Tax(@ I%of taxable sales) $48,193 Use Tax(@ 10.75%of sales tax) 51_81 Total Projected Sales and Use Tax $53,374 Note: 1. Assessed valuation is projected at an average of$552,672 per unit based on information from similar projects in other annexation areas. Sources: Stanley R.Hoffman Associates,Inc. Stanley R. Hoffman Associates,Inc. 20 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 56 of 67 • A use:tax rather than a sales taxis paid on construction materials from residential and non-residential development. This tax is counted in the county in which construction takes place, not at the point of sale of materials. • A use:taxis levied on purchases from out-of-state sellers of goods for use in California. The State Board of Equalization assembles the use tax collections into a number of pools. County pools for each county are based on tax proceeds assigned to a county level. A statewide pool is developed for tax proceeds, which cannot be assigned to individual counties. These pools of use tax proceeds are then distributed to individual cities and counties on a quarterly basis. The distribution percentages to local jurisdictions for the county pool are calculated on the basis of each city's and county's share of total countywide non-situs based sales tax as a percentage of total point-of-sale, sales tax. A similar procedure is used in the allocation of the statewide pool. Proposition 172 Sales Tax (Public Safety Augmentationl. The State's allocation formula for public safety augmentation revenues from Proposition 172 is generally tied to each city's sales tax effort. Therefore, based on Proposition 172 revenues of$299,500 and City sales tax revenues of$14,626,000, these revenues are projected at $20.48 per $1,000 of additional sales tax generated. Franchise Fees The City of Rancho Cucamonga receives a franchise fee for the use of exclusive rights-of- way within the City for gas and electric, refuse and cable television. Gas and Electric Franchise Fees. As shown in Table 4-3,gas and electric franchise fees are estimated at $12.50 per capita and per employee based on the City budget fees of $2,423,180 and the City population plus City employment estimate of 193,871. Refuse Franchise Franchise fees for rubbish services are projected at$8.00 per capita, based on residential refuse costs of $1,173,379 and the population estimate of 146,666. Commercial (non-residential) refuse franchise fees are projected at $27.73 per employee based on commercial refuse costs of$1,309,000 and employment of 47,205. Stanley R. Hoffman Associates,Inc. 21 Etiwanda CreekAnnexation Fiscal Analysis City of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 57 of 67 Cable Television Franchise Fees. Cable television franchise fees are projected at $18.97 per housing unit based on budget figures of$889,260 for this type of franchise and estimated housing units of 46,870. Fines and Forfeitures. These revenues are projected at $5.45 per capita and per employee, based on total revenues of$1,057,180 and the population plus employment estimate of 193,871. Motor Vehicle In-Lieu Fees. These State allocated revenues,as shown in Table 4-3,are projected at$58.52 per capita based on information from the City of Rancho Cucamonga budget for fiscal year 2003-2004 and a population of 146,666 as of January 1, 2003. Charges for Services. Charges for services are shown in Table 4-3 and include revenues such as printing fees and sale of printed materials. This revenue source is projected at $0.62 per capita and per employee, based on annual revenues of$120,460 and the City population plus employment of 193,871. Other Revenues. These other miscellaneous revenues include rentals,leases and sales of fixed assets. Other revenues are projected at$0.51 per capita and employee based on the City preliminary budget revenues of$98,830 and the City population plus employment estimate of 193,871. Interest Income. Interest earnings to the General Fund are not projected as apart of this analysis. Library Fund. As shown in Table 4-3, the City is projected to receive from property tax revenues, 1.7 percent of the basic 1.0 percent levy for the Library Fund. In addition,library revenues of$0.80 per capita are projected based on a total of$118,000 from fines and fees and a population of 146,666. Library revenues of $0.70 per capita are projected based on total media rentals and sales of$102,500 and population of 146,666. Interest earnings are not projected as a significant revenue source. State Gasoline Tax. State gasoline tax revenues are determined based on data provided by the City's budget for fiscal year 2003-2004 and the City population of 146,666. These revenues are projected based on the following: Stanley R.Hoffman Associates,Inc. 22 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 58 of 67 State Gasoline Tax Total Amount Per Capita Amount Section 2105 $738,000 $5.03 Section 2106 $465,770 $3.18 Section 2107 $1,049,230 $7.15 No interest earnings are projected as a part of this analysis. Gas Tax Fund revenues are earmarked for public works road related maintenance costs. Rancho Cucamonga Fire Protection District The Rancho Cucamonga Fire Protection District (RCFPD) receives an estimated 12.46 percent of the basic one percent property tax levy for the Etiwanda Creek development. No interest earnings are projected as a part of this analysis. 4.3 Cost Assumptions The cost assumptions for the City's General Fund are summarized in Table 4-5. Recurring costs include police protection,animal control,publicworks,planning,building and safety, community services, library, fire district and general government activities. Police Protection. The City of Rancho Cucamonga contracts police protection services with the County Sheriff. Table 4-6 presents the police cost estimation. Total annual costs from the City's budget for 2003-2004 are$15,280,650. Based on discussion with the City Finance Officer during preparation of the fiscal analysis of the General Plan Update, a County Administrative Fee of $374,600 is subtracted from the total cost. The total net police cost is $14,906,500, which is allocated to population and employment in their relative proportions, yielding projected costs of$76.89 per capita and per employee. Animal Control. Animal control costs are projected at$2.66 per capita,based on total net costs of$390,490 and a population of 146,666, as shown in Table 4-5. Public Works Estimated public works costs are presented in Table 4-7. Enginee ing. Based on City budget information, 2003-2004 engineering costs are estimated to total$3,201,920,while engineering fee revenues are estimated at$1,259,680. Net engineering costs of$1,942,240 are allocated on a per-developed acre basis. Stanley R.Hoffman Associates,Inc. 23 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 59 of 67 TABLE 4.5 EnWANDA CREEK CITY OF RANCHO CUCAMONGA SUMMARY OF COST ASSUMPTIONS (In Constant 2004 Dollars) Budget FY 2003/04 Projection Projection Method Annual Cost Category Budget Net Cost Basis and/or Assumptionsl Projection Factors CITY GENERAL FUND Police Protection $15,280.650$14,906,050 Total Population ark Emplaymem Per capita and empklyea $76.89 Per capita and employee Animal CoWd $452,250 $390,490 Total Papulabon Par capita $2.68 per capita Public Works: En9lneenng $3,201,920 $1,942,240 Trial Developed A. Per developed acre $149.52 per developed ave Public Works: Maintenance 84,651,630 $4,124,260 Total Developed Avec Par developed ave 5317.49 per developed ave PWlic Works: Facilities $1,903,950 5380,790 Total Developed Avec Par developed ave $29.31 par developed ave Panning S1,749,700 $899,700 Total Developed Ames Per developed ave $69.26 per developed ave Baking and Safety' 54,142,290 s0 Total Devebped Acres Per developed am Na'per developed atm Cdnmunity Sermces $2,337,520 $2,337,520 Total Population Per capita $15.94 per capita Library Snvfoes $1,891,680 $1,891,680 Total Poputatiun Par capita $1290 per capita Ft.Distdd Transfer $1,136,770 $1,136,770 Total Population and Employment Per capita and employee $5.86 per capita and employee Gmeml Government $10,483,080$10,483,050 Sham of Direct line Casts 50%rnargical MW2 15.3%Of bred less costs Contingency Shire of Total General Fwd Costs X of=ts2 15.0%of General Fund costs Not: 1. The fLamlares"s assumes Nat buadit yq aatety msb omake en x,ascodaw fee revenues sr the sram 2.WM"Mor sae and oonenpmay mst"'Me"am based on Ne Isms meNodya9y used for Ne General Plan Dpdate, Source: Stanley 0.Hoffman Assodates,Inc City of R8nCn0 Cucamonga,Fu 81 Year 200304,Adopted audgat Stanley R Hofbnan Associates,Fiscal Analyals,General Plan Vpdate.Cayo7Rancho Cucamonga,October 2,2000 Stanley R. Hoffman Associates, Inc. 24 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga, Resolution No. 04-211 Page 60 of 67 TABLE 4-6 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA POLICE COST ESTIMATION (In Constant 2004 Dollars) 1. POLICE COSTS $15,280,650 Total 2003/04 Budget minus County Administrative Fee equals $374,600 Net Police Costs $14,906,050 2. PER CAPITAIEMPLOYEE COSTS 146,666 City Population Estimate 47,205 City Employment Estimate 193,871 Population plus Employment Per Capita/Per Employee Cost $76.89 Note: 1. Polio cost estimation is based on the methodology used in the General Plan fiscal analysis. Source: Stanley R. Hoffman Associates,Inc. City of Rancho Cucamonga,Fiscal Year 2003/04,Adopted Budget Stanley R.Hoffman Associates,Fiscal Analysis, General Plan Update, City of Rancho Cucamonga,October 2,2000 Analysis Stanley R. Hoffman Associates, Inc. 25 Etiwanda Creek City of Rancho/scal Cucamonga May 3, 2004 Resolution No. 04-211 Page 61 of 67 TABLE 4.7 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA ESTIMATION OF PUBLIC WORKS COSTS (In Constant 2004 Dollars) 1. ENGINEERING COSTS PER DEVELOPED ACRE Engineering-Administration $332,760 Engineering-Construction Management 825,700 Engineering-Development Management 1,186,290 Engineering-NPDES Program 492,720 Engineering-Project Management 144,280 Engineering-Traffic Management 220.170 Total Engineering Costs $3,201,920 minus Engineering Fees $1,209,680 Engineering Special Services Fees 50y00 Engineering Revenues $1,259,680 equals Net Engineering Costs $1,942,240 Estimated Total Developed Acres divided by 12,990 equals Engineering Costs Per Developed Acre $749.52 2. PUBLIC WORKS MAINTENANCE COSTS PER DEVELOPED ACRE Vehicle&Equipment Maintenance $854,740 Gimes Marginal Increase in Maintenance Vehicles&Equipment @t 50% Adjusted Maintenance Vehicles&Equipment equals $427,370 Maintenance Public Works plus 3.696.890 Total Public Works Maintenance Costs $4,124,260 Estimated Total Developed Acres byes 12,990 equals Public Works Costs Per Developed Acre $317A9 3. FACILITIES MAINTENANCE COSTS PER DEVELOPED ACRE Facilities Maintenance $1,903,950 times Marginal Increase in Facilities Maintenance Qa 1 20 equals Adjusted Facilities Maintenance $380,790 Estimated Total Developed Acres divided by 12,990 equals Facilities Maintenance Costs per Developed Acre $29.31 Note: 1. Marginal increase assumptions are based on me fiscal methodology used for the General Plan update. Source. Stanley R.Hoffman Associates,Inc. City of Rancho Cucamonga,Fiscal Year 2003 4,Adopted Budget Stanley R.Hoffman Associates,Fiscal Analysis,General Plan Update,City of Rancho Cucamonga,October 2,2wit Stanley R.Hoffman Associates,Inc. 26 Etiwanda Creek Annexation Fiscal Analysis May3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 62 of 67 Developed acres total 12,990 and net engineering costs are projected at $149.52 per developed acre, as shown in Table 4-7. Public 1Norks Maintenance. Public works services include street maintenance and sweeping,maintenance of parks and trees,city facilities,and storm drains. The City public works budget totals$4,124,260. Public works costs are projected on a per-developed acre basis. With an estimated 12,990 developed acres in the City, maintenance costs are projected at$317.49 per developed acre, as shown in Table 4-7. Facilities Maintenance.Total facilities maintenance costs in 2003-2004 are$1,903,950. Based on the fiscal methodology used for the General Plan Update,it is assumed that the proposed project would incur a marginal increase in facilities maintenance costs of 20 percent,or an increase of$380,790. This marginal increase of$380,790 is divided by the total 12,990 estimated developed acres, for projected facilities maintenance costs of $29.31 per developed acre, also shown in Table 4-7. Planning Department Table 4-8 presents the estimation of both the Planning Department costs and the Building and Safety Department costs. These costs are projected on a per-developed acre basis. Planning. As shown in Table 4-8, Planning Department functions total $1,749,700, according to the budget for fiscal year 2003-2004. Planning fee and special program fee revenues for the same period total$850,000,for estimated net planning costs of$899,700. Using estimated developed acres of 12,990; planning costs are projected at $69.26 per developed acre. Buildintt and Safety. Table 4-8 also presents the estimation of the Building and Safety Department costs. As shown,Building and Safety costs total$4,142,290,according to the 2003-2004 budget. Building permit and plan check fee revenues for the same period total $4,316,200,for estimated surplus of$173,910. The fiscal analysis assumes that building and safety costs breakeven with building permit and plan check fee revenues, thus Stanley R.Hoffman Associates,Inc. 27 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 63 of 67 TABLE 4-6 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA ESTIMATION OF PLANNING AND BUILDING AND SAFETY COSTS (In Constant 2004 Dollars) 1. PLANNING COSTS PER DEVELOPED ACRE Planning $1,749,700 Planning Fees minus $800,000 Planning- Special Services Fee 50 000 Planning Revenues $850,000 equals Net Planning Costs $899,700 Estimated Total Developed Acres divided by 12,990 Net PlanningCosts equals per Developed Acre $69.26 2. BUILDING AND SAFETY COSTS PER DEVELOPED ACRE Building and Safety $4,142,290 minus Building Permits $2,676,200 Plan Check Fees 1,640.000 Building and Safety Revenues $4,316,200 equals Net Building and Safety Costs' 3173,910 Note: 1. The fiscal analysts assumes that costs for Building and Safety for Ettwarde Creek will breakeven with associated fee revenues. Source: Stanley R.Heitman Amodates,Inc. City of Rancho Cucamonga,Fiscal year 2003 1,Adopted Budget Stanley R.Hoffman Associates,Fiscal Analysis,General Plan Updafa,City of Rancho Cucamonga,october 2,2000 Stanley R.Hoffman Associates, Inc. 28 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga Resolution No. 04-211 Page 64 of 67 balancing building and safety costs in the long term. The line item of building and safety costs is riot projected in the fiscal analysis. Community S_ ervices• As shown in Table 4-5, City Community Services costs are estimated to total$2,337,520 in 2003-2004. On a per capita basis,this cost is projected at $15.94. Library. As shown in Table 4-5, the Rancho Cucamonga library costs are projected at $12.90 per capita, based on a library annual budget of $1,891,680 and population of 146,666. Fire District Tnsfer. Based on the proposed fiscal year 2003-2004 budget the General Fund is transferring $1,136,770 to the Rancho Cucamonga Fire Protection District to supplement the District's other funding sources. Based on the total population and employment estimate of 193,871, the General Fund transfer cost to the Fire Protection District is projected at$5.86 per capita and employee. General Government Costs. Table 4-9 presents the estimation of general government costs. All City costs are categorized as either general government costs or non-general government costs. General Government costs are related to City administration and are generally not associated with direct line department services to City residents or employees. Non-general government functions provide direct services, such as animal control, police, or community services. As shown in Table 4-9, general government costs are estimated at $10,483,060. Non- general government costs are estimated to total$34,330,390. The general government as a percent of non-general government costs is equal to 30.5 percent. Due to economies of scale,it is estimated that the marginal increase in general government costs would be one half of this amount, or 15.3 percent. The 50 percent marginal increase in general government costs is based on the fiscal methodology for the General Plan Update. 2g Etiwanda Creek Annexation Fiscal Analysis Stanley R'.Hoffman Associates,Inc. City of Rancho Cucamonga May 3,2004 Resolution No. 04-211 Page 65 of 67 TABLE 4.9 ETIWANDA CREEK CITY OF RANCHO CUCAMONGA ESTIMATION OF GENERAL GOVERNMENT COSTS (In Constant 2004 Dollars) 1, GENERAL FUND:r;XPEi4i)l'tuRE9 ........ General Non-General Non-Departnernal General $3.278,500 $3.278.500 Nor-Deparmenal Personnel 218.030 218.030 City Council 9G850 90.850 City Manager 801.140 801.140 City Clark 371.430 371,430 Animal Control Services 452.250 452.250 Emergency Preparedness 122,090 122.090 Adminisarallw Services-Administration 377,170 377,170 Business Licensing 209,380 209,380 City Facilities 1,485,860 1,485,860 Finance 604,650 604,650 Geographic Information Systems 304,890 304.890 Management information Systems 1,938,140 1,938,140 Personnel 291,270 291.270 Purchasing 340,890 340,890 Rlsk Management 167,220 167.220 Treasury Management 3.640 31640 Community Development!Administration 0 0 Buitcling It Safety 4,142,290 4,142,290 Engineering-Administration 332,760 332,760 Engineering-Construction Management 825,700 825,700 Engineering-Depelopromput Management 1,1116,290 1,186,290 Enginftdng-NPDES 492.720 492,720 Engineening-Project Management 144,280 144,280 Engineering-Traffic Management 220.710 220.710 Facilffies Maintenance 1.903,950 1,903,950 Integrated Waste Management 624,310 624,310 Planning 1.749.700 1,749,700 Planning Commission 9,570 9,570 Street and Park Maintenance 3,648.130 3,848.130 Vehicle&Equipment Maintenance 854,740 854,740 Community Services-Administration 2,337.520 2,337,520 Park and Recreation Commission 2,730 2,730 Fire Administration 0 0 Police Administration 15.280.650 15.280,650 Redevelopment Agency Administration 0 9 GRAND TOTAL GENERAL FUND 544,813,450 $10,483,060 $34,330,390 :2 ::C. CLATi ,4.:.o.F..:.. ..RA2AL,. — . P ( rNE .L...GOVERNMENT COST Fstimated General 3cmernmert Expenditures $10,483,060 dmIded by Estimated Non-General Government Expenditures $34,330,390 equals General Government as percent of Non-General Government Costs 30.5% Marginal Increase in General Government Costs @ 50%' 15.3% Note: 1. Marginal increase assumptions are based on the local methodology used for the General Plan update Source. Stanley R.Hoffman Associates,Inc City of Rancho Cucamonga,Fiscal Year 2003R14,Adopted Budget Starts,R.Hoffman Associates,F's"Aharys"Go.od Pled Uldd.la,City or Rancho Cucturnom,October 2, 2000 Stanley R.Hoffman Associates,Inc. 30 Etiwanda Creek Annexation Fiscal Analysis May 3, 2004 City of Rancho Cucamonga Resolution No. 04-211 Page 66 of 67 Continoency Costs. City General Fund contingency costs of 15 percent are applied to projected costs to account for budget and economic uncertainties. The contingency cost factor of 15 percent is based on discussion with City Finance Department staff during preparation of the fiscal analysis of the General Plan Update. Rancho Cucamonga Fire Protection District Annual recurring fire protection costs are not projected for the Etiwanda Creek project. Based on the Plan for the Provision of Municipal Services Annexation No.01-01 to the City of Rancho Cucamonga prepared by the City,the RCFPD currently has adequate funding to provide fire protection within it jurisdictional boundaries. Stanley R. Hoffman Associates,Inc. 31 Etiwanda Greek CAnneity RaCucamonga Cucamonga May 3,2004 Resolution No. 04-211 Page 67 of 67 APPENDIX A PERSONS AND AGENCIES CONTACTED City of Rancho Cucamonga Larry Henderson, AICP Principal Planner 909477-2700 County of San Bernardino Local Agency Formation Commission Kathleen Rollings-McDonald Acting Executive Officer 909-387-5869 County of San Bernardino Auditor Controller's Office 909-386-8831 Stanley R.Hoffman Associates,Inc. 32 Etiwanda Creek Annexation Fiscal Analysis May 3,2004 City of Rancho Cucamonga