Title
Consider adopting a resolution to amend certain specified Monterey County Water Resources Agency land use permitting activities fees, including:
a. Levying a new well construction fee for the Water Resources Agency's technical support to the Monterey County Environmental Health Bureau well permit program for evaluation of new domestic wells, in the inland areas of Monterey County resulting from the implementation of 2010 General Plan Policy (PS-3.3);
b. Levying a new well construction fee for the Water Resources Agency's technical support to the Monterey County Environmental Health Bureau well permit program for evaluation of new high capacity wells, in the inland areas of Monterey County resulting from the implementation of 2010 General Plan Policy (PS-3.4);
c. Amending the description of where well construction, reconstruction, and destruction permit fees are collected for the Water Resources Agency to include Zone 2C and additional areas of Monterey County inclusive of the area under the jurisdiction of the Pajaro Valley Water Management Agency; and,
d. Amending specified fees and extending an automatic annual fee adjustment every July 1 for a three year period (beginning July 1, 2013 through July 1, 2015) with adjustment based on the Consumer Price Index (CPI) for the San Francisco-Oakland-San Jose area.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors of the Monterey County Water Resources Agency:
Consider adopting a resolution to amend certain specified Monterey County Water Resources Agency land use permitting activities fees, including:
a. Levying a new well construction fee for the Water Resources Agency's technical support to the Monterey County Environmental Health Bureau well permit program for evaluation of new domestic wells, in the inland areas of Monterey County resulting from the implementation of 2010 General Plan Policy (PS-3.3);
b. Levying a new well construction fee for the Water Resources Agency's technical support to the Monterey County Environmental Health Bureau well permit program for evaluation of new high capacity wells, in the inland areas of Monterey County resulting from the implementation of 2010 General Plan Policy (PS-3.4);
c. Amending the description of where well construction, reconstruction, and destruction permit fees are collected for the Water Resources Agency to include Zone 2C and additional areas of Monterey County inclusive of the area under the jurisdiction of the Pajaro Valley Water Management Agency; and,
d. Amending specified fees and extending an automatic annual fee adjustment every July 1 for a three year period (beginning July 1, 2013 through July 1, 2015) with adjustment based on the Consumer Price Index (CPI) for the San Francisco-Oakland-San Jose area.
SUMMARY:
Implementation of the 2010 General Plan Policy (PS-3.3 and 3.4) has required the Monterey County Water Resources Agency to expend additional staff time for the evaluation of new domestic wells and new high capacity wells at a cost of $121.5 and $243.16 respectively. The proposed fees are intended to cover those costs. Staff is also recommending modifications to a few specific fees and extension of the automatic adjustment through July 1, 2015, consistent with the County staff recommendations for revisions to the County land use permitting fees.
DISCUSSION:
Staff is recommending that the Board of Supervisors of the Monterey County Water Resources Agency adopt certain fees and make certain amendments to MCWRA land fees, as shown in the attached Article XI, to cover the staff cost involved in MCWRA review of County land use permit applications. These include fees for supporting the County's Environmental Health Bureau (EHB) well construction, reconstruction and destruction permit program. If the fee amendments are approved by the Water Resources Agency, the MCWRA fees as amended are proposed to be included as Article XI of the Monterey County Fee Resolution. MCWRA land use fees are included in the County Fee Resolution because the County collects these fees on behalf of the MCWRA as part of the land use application fees charged to applicants for land use permits and entitlements. As a separate agenda item on May 7, 2013, the Board of Supervisors of the County of Monterey is requested to consider amendments to County land use application fees as set forth in the County Fee resolution and to incorporate fee amendments adopted by the MCWRA into the County Fee Resolution.
The fee proposals for MCWRA include the following:
Action I: Levy a new well construction fee for the Water Resources Agency's technical support to the Monterey County Environmental Health Bureau (EHB) well permit program for evaluation of new domestic wells, in the inland areas of Monterey County, resulting from the implementation of 2010 General Plan Policy (PS-3.3). Staff has tracked the time spent on this task since November 2011 and has proposed a fee equivalent to one (1) hour at the Water Resources Agency rate, which is currently $121.58.
The 2010 Monterey County General Plan requires that all new domestic wells be assessed to determine their effect on wells in the immediate vicinity and effects on in-stream flows (PS-3.3). Per direction from the Monterey County Board of Supervisors policy of the 2010 General Plan must be implemented. The Water Resources Agency has been conducting this impact assessment for new domestic wells since directed in November 2011. In addition to conducting the assessment, the Agency provides documentation of the finding to the County EHB and, when appropriate, coordinates with the applicant to mitigate any potential impact of the proposed well that is discovered during the assessment. The current Water Resources Agency fees do not include a fee applicable to new domestic wells that provides revenue for conducting this additional work.
Water Resources Agency staff has tracked the time spent on conducting domestic well impact assessments and has determined that a fee equivalent to one (1) hour of staff time per permit is adequate to cover the average cost of the conducting the domestic well impact assessment work.
Action II: Levy a new well construction fee for the Water Resources Agency's technical support to the Monterey County EHB well permit program for evaluation of new high capacity wells, in the inland areas of Monterey County, resulting from the implementation of 2010 General Plan Policy (PS-3.4). Staff has tracked the time spent on conducting high capacity well assessments since November 2011 and has proposed a fee equivalent to two (2) hours of the Water Resources Agency rate. At the current Water Resources Agency hourly rate, this fee would be $243.16.
The 2010 Monterey County General Plan requires an assessment of impacts on adjacent wells and in-stream flows for new high capacity wells, including high capacity urban and agricultural production wells. A high capacity well is defined by the 2010 General Plan as a well that has a flow over 1,000 gallons per minute. The Water Resources Agency has been conducting impact assessments for new high capacity wells since directed by the Monterey County Board of Supervisors in November 2011. The current Water Resources Fees do not include a fee applicable to new high capacity wells.
Action III: Amend the County's Master Fee Resolution description of where well construction, reconstruction, and destruction permit fees are collected for the Water Resources Agency to include Zone 2C and additional areas of Monterey County inclusive of the jurisdiction of the Pajaro Valley Water Management Agency.
The role of Water Resources Agency staff in the well permitting process is to serve as a technical consultant to the Monterey County EHB, reviewing well permit applications in order to ensure protection of water resources during the well construction, reconstruction, or destruction process. The Water Resources Agency currently receives a fee for providing technical review for a subset of well construction permits; specifically those wells producing over five acre-feet per year in Zone 2A.
Since this arrangement with EHB was set-up and fees were put in place to cover the efforts of Water Resources Agency staff, Zone 2C was created in conjunction with the Salinas Valley Water Project (SVWP). Given that Zone 2C is the area of benefit for the SVWP, the Water Resources Agency should be involved in review of well permit applications for the entire zone - not just the subset of Zone 2C that is encompassed by Zone 2A.
Additionally, the Pajaro Valley Water Management Agency (PVWMA) has indicated to EHB that its staff does not have the resources to provide technical review of well permit applications in the Monterey County portion of their jurisdiction. The County Health Department has requested that the Water Resources Agency fill this role on behalf of PVWMA for wells located in Monterey County, in order to provide technical advice to the Health Department in their role as the permitting entity.
Action IV: Staff is also recommending modifications to a few specific fees and extension of the automatic adjustment through July 1, 2015, consistent with the County staff recommendations for revisions to the County land use permitting fees. (See May 7, 2013 staff report to the Monterey County Board of Supervisors related to amendment to specified fees for land use permitting activities for further explanation.)
These amendments to the fees are not a tax and are exempt from voter approval under section 1(e) of Article XIII.C. The land use fees cover a portion of the staff cost of processing applications for land use permits and entitlements, and the fees do not exceed the reasonable or actual costs of processing land use applications and associated permitting, monitoring, and enforcement activities. As explained above, these fees are imposed for a specific government service provided directly to the applicant that is not provided to those not charged, are imposed for the reasonable regulatory costs to the County for issuing permits for property development and the administrative enforcement thereof, and do not exceed the reasonable costs to the County of providing these services.
OTHER AGENCY INVOLVEMENT:
The land use application fees charged to land use permit applicants are a composite of the fees for each of the County land use departments and the Monterey County Water Resources Agency. Accordingly, MCWRA staff has coordinated with staff of the County land use departments and the Office of County Counsel in the preparation of this report. Land use fee amendments are scheduled for separate consideration today by the Board of Supervisors of the County of Monterey, and County staff is also recommending that the County Board of Supervisors include the Water Resources Agency fee amendments, if approved, in the Monterey County Fee Resolution.
FINANCING:
Adoption of this resolution will result in additional revenues for the Water Resources Agency.
Prepared by:
Patrick McGreal, Deputy County Counsel, (831) 755-5045
Approved by:
David E. Chardavoyne, General Manager, (831) 755-4896
Attachments:
- Resolution
- Article XI