The City Council adopted Ordinance 05-5322 on Arterial Construction Fees on April 11, 2005, in part to provide relief to commercially-zoned properties being used solely as owner-occupied single family residences.  The City Council adopted Ordinance 08-5478 on September 22, 2008, which allows a Residential Manufactured Home (RMH)-zoned property owner to also petition for a reduction of arterial fee assessments if the parcel is used solely as an owner-occupied single family residence.  The relief in both of these situations is in the form of capping the parcel square footage at 9,600 square feet and calculating the assessment based on the R-9600 zoning rate instead of commercial or RMH zoning rates.

As of August 31, 2012, the Public Works Department received four (4) completed and signed petitions involving five (5) parcels.  Four (4) of the parcels meet the criteria specified in Ordinance 05-5322 and 08-5478.  The parcel with tax code D05201 owned by Melville & Vivian Moats does not meet the criteria because the parcel is not owner occupied and Ordinance 08-5478 only allows parcels used solely as a single family residence to petition for a reduction of their Arterial Construction Fee assessment.

The Council must hold a public hearing and then may:
•Approve the resolution reducing the Arterial Construction Fee assessments for the four (4) parcels meeting the criteria of Ordinance 08-5478; or
•Not approve the resolution reducing the Arterial Construction Fee assessments for the four (4) parcels meeting the criteria of Ordinance 08-5478.

By reducing the Arterial Construction Fee assessments on the four (4) parcels meeting the criteria of Ordinance 08-5478, the City will collect $1,188.69 less for FY 2013 than if the City Council denies the petitions.

Staff recommends that a public hearing be held and City Council approve the proposed resolution reducing the Arterial Construction Fee assessments for the four (4) parcels meeting the criteria of Ordinance 08-5478.