From the agenda of the Board of Supervisors for Tuesday, April
15, 2003:
5.
020592
[Modifying collection procedures for the Transit Impact, Housing,
Child Care, Park and Inclusionary Housing Fees by transferring
responsibility for collection and enforcement to the
Supervisors Peskin, McGoldrick, Daly, Maxwell, Dufty
Ordinance (1) amending the Planning Code by amending Sections
139, 313.1, 313.4, 313.5, 313.6, 313.7, 313.8, 313.9, 313.10, 314.1,
314.4, 314.5, 315.3 and 315.6 to transfer collection authority for
in lieu fees collected for the Park Fund, the Jobs-Housing Linkage
Program, Child Care Requirement and the Inclusionary Affordable
Housing Program from the Controller to the Treasurer and conform
collection procedures for these fees, and require that funds from
the Child Care Capital Fund and the Downtown Park Fund be used to
fund nexus studies for the Downtown Park Fee and the Child Care Fee;
and (2) amending the Administrative Code by amending Sections 38.1,
38.3, 38.4, 38.5, 38.6, 38.8, 38.8.5, 38.9, 38.10, 38.11 and 38.45
to transfer collection of the Transit Impact Development Fee from
the General Manager of the Public Utilities Commission to the
Treasurer and conform collection and enforcement procedures for the
fee.
3/18/2003, SUBSTITUTED. Supervisor Peskin submitted a substitute
ordinance bearing new title and requested this item be scheduled for
consideration at the March 2, 2003 meeting.
4/15/2003, AMENDED. Amended on page 5, line 23 by deleting
"housing".
4/15/2003, PASSED ON FIRST READING AS AMENDED. Supervisors
McGoldrick, Daly and Maxwell requested to be added as co-sponsors.
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Board of Supervisors Gives Treasurer Leal OK to Go After
Uncollected Development Impact Fees
Move Means Treasurer’s Office Could Bring
City Millions More for Affordable Housing, Parks & Childcare
San Francisco, CA (April 16, 2003) - On Tuesday, April 15, 2003,
the Board of Supervisors unanimously granted City Treasurer Susan
Leal the authority to collect development impact fees - fees
developers must pay when constructing new office, hotel, retail, and
housing developments or converting existing buildings to new uses.
The fees are imposed to offset the impacts of the new developments
and are used to fund affordable housing, parks, childcare, and
transit. The move could mean millions more for new affordable
housing, parks, childcare services, and transit since $1 million -
and likely much more - in uncollected development impact fees are
currently owed to the City. The legislation will ensure fees are
paid in full and on time so that the City can mitigate the impact of
new development and building conversions.
“Especially in these tough financial times, I’m committed to
going after development impact fees owed to the City because the
money will fund new affordable housing, parks, additional transit
routes, and expanded childcare for working parents,” said Treasurer
Leal. “We’ve worked with Supervisors Peskin and McGoldrick and the
Controller’s office for over a year to assume responsibility for
collecting development impact fees and I’m grateful for the vote of
confidence from the Board.”
The City collected over $12.5 million in development impact fees
during fiscal year 2001-2002 and over $17.6 million the prior fiscal
year. These funds are essential to offsetting the impacts of new
development projects in the City. While the vast majority of fees
have been collected, several developers received their building
permits without paying the fee, leaving $1 million and likely much
more, in uncollected fees.
Collection of the development impact fees is being consolidated
in the Treasurer’s Office to provide uniformity to the process and
to streamline collection efforts into the one City department with
the expertise and know how in revenue collection. “The new
legislation gives my department the authority to initiate liens
against development projects that fail to pay the impact fees and
provides for interest on unpaid fees to accrue at one and one-half
percent per month. These changes will give my department the
necessary tools to effectively collect any unpaid fees and ensure
that all new fees are collected in a timely manner,” said Treasurer
Leal. “The quality of local childcare and Muni and the amount of
open space and affordable housing we have is dependent on our
collection of these fees,” added Leal. |