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(1) Receipt and Filing of Information on Development Impact Fees in Connection with Parks and Recreation Facilities; and, (2) If Desired, Select a PRCS Commission Member to Speak at an Upcoming City Council Meeting on the Topic.
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Meeting Date: January 6, 2026
Contact Person/Dept: Adam Ferguson/ PRCS
Phone Number: (310) 253-6685
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No []
Public Hearing: [] Action Item: [X] Attachments: []
Public Notification: (E-Mail) Meeting and Agendas - Parks, Recreation and Community Services Commission (01/02/2026); (E-Mail) Parks, Recreation & Community Services Department Updates (01/02/2026)
Department Approval: Adam Ferguson, PRCS Deputy Director (01/02/2026)
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RECOMMENDATION
Staff recommends that the Parks, Recreation and Community Services (PRCS) Commission (1) receive and file information on development impact fees in connection with parks and recreation facilities; and, (2) if desired, select a PRCS Commission Member to speak at an upcoming City Council meeting on the topic.
BACKGROUND/DISCUSSION
Development impact fees are charges imposed by local government to manage urban growth and offset the impacts of new development on infrastructure, roads, affordable housing, parks, public art, and other essential community services and facilities.
Development impact fees are calculated on the legal principle of “nexus” - meaning that there is a reasonable relationship between the size and use of a project, the community impacts, and alignment with the General Plan policies and calculated growth. For example, increased traffic caused by a new office building is mitigated through a development impact fee that funds road improvements, pedestrian protections, and other traffic calming measures.
In Culver City, development projects are subject to the following impact fees:
• New Development Impact Fee (public works capital improvements for nonresidential uses);
• Art in Public Places Program In-Lieu Fee;
• Residential Development Park Dedication and In-Lieu Parkland Fee (residential uses);
• Mobility Improvement Fee; and
• Affordable Housing Commercial Development Impact Fee (nonresidential uses)
Parks Impact Fees
In California, local governments can impose two types of development impact fees for funding parks and recreational facilities. Under the 1975 Quimby Act, found in the Subdivision Map Act, local governments may require the dedication of land for parks or the payment of fees in lieu of land dedication as a condition of subdivision/condominium map approval. To fund the construction of new park and recreational facilities on projects that don’t require a subdivision, local governments may also impose Park Land Impact Fees by following the guidelines set forth by the 1987 Mitigation Fee Act. These fees are based on maintaining the current level of park service for a community, cost of land, and anticipated population growth.
The City’s park land related fee programs need to be updated. Staff engaged NBS Government Finance Group (NBS) to assist the City with a comprehensive approach for updating park land and recreation facilities related fees. Working closely with associated departments, NBS prepared a Parks and Recreation Facilities Development Impact Fee Study to establish the legal and policy basis (nexus) for the imposition of updated park land related and park and recreation facilities fees on new developments within the City. Staff used this as the basis for a program that includes a Municipal Code Amendment, new ordinance, and restructured fees and rates that will go to City Council on January 12, 2026.
The recommended actions are intended to:
1. Update the City’s ordinances to create parity with current State legislation, including changing the fee assessment from a unit type (single family, multi-family) fee to a square footage fee;
2. Modernize the City’s fee structure to increase revenue that supports expanded access to quality park and recreation spaces; and
3. Create a fee structure that addresses the park land standard deficit and offsets impacts of new residential developments on current parks levels of service.
The updated park impact fee program is designed to ensure that new residential developments pay their share of the cost of land acquisition for parks (in order to maintain the City’s existing parks-to-population ratio). The proposed ordinance and fee schedule replaces existing code language governing park land related fees collected for residential projects and establishes new fees for residential projects that include subdivisions (Park Land In Lieu Fee) and residential projects that do not include subdivisions (Park Land Impact Fee). This new fee structure brings the City park land related fees into conformance with State law.
Two other fees are a Park Improvement Impact Fee and a Community Center and Recreation Facilities Impact Fee. They were studied and are proposed to be phased in at a later date.
The PRCS Commission is invited to asking any clarifying questions when it comes to the development fees in Culver City.
Upcoming Public Hearing
If desired, the PRCS Commission can select a member to attend the upcoming Public Hearing, tentatively scheduled for January 12, 2026, to speak on behalf of the PRCS Commission on this issue.
FISCAL ANALYSIS
This discussion has no financial impact. However, the Municipal Code Amendment, new ordinances, and restructured fees and rates will have an impact on the available funds for specific improvement projects.
ATTACHMENTS
None.
Recommended Action
MOTION
That the Parks, Recreation and Community Services Commission:
1. Receive and file information on development impact fees in connection with parks and recreation facilities; and,
2. If desired, select a PRCS Commission Member to speak at an upcoming City Council meeting on the topic.