Adopted Capital Improvement Program Budget FY 2024-25 through FY 2029-30

City of Morgan Hill Capital Improvement Program FY 2024 ‐ 25 – FY 2029 ‐ 30

315 ‐ Public Safety Facilities Impact

Fund Description The Public Safety Facilities Impact Fund revenues are derived from a fee charged to developers to cover the costs to construct public improvements required for Police and Fire Protection facilities as a result of new development. Expenditures may only be made for the future construction of the required new or expanded Public Safety facilities and the purchase of equipment/apparatus. The Fund may also reimburse the City for funds advanced to construct such facilities. The Fund is subject to the restrictions of AB1600. Beginning in 2020, the collection of separate Fire Police Impact Fees was halted, and the City began collection of a more General Public Safety impact fee for both Police and Fire.

Project List

2024 ‐ 25

2025 ‐ 26

2026 ‐ 27

2027 ‐ 28 2028 ‐ 29 2029 ‐ 30

PF2006 ‐ Project Administration PF2002 ‐ Police Facility Expansion

$

129,682 $

‐ ‐ ‐ ‐

$

‐ ‐ ‐ ‐

$

‐ ‐ ‐ ‐

$

‐ ‐ ‐ ‐

$

‐ ‐ ‐ ‐

1,750,000

PF2003 ‐ New Fire Stations

950,000

Totals $ 2,829,682

$

$

$

$

$

How this Fund Generates Money for Capital Investment New development creates the need for the City to expand its inventory of public facilities and build new, or expand current, infrastructure to handle the demands for new services. The City imposes public facilities fees under authority granted by the Mitigation Fee Act (the Act), contained in California Government Code Sections 66000 et seq. A City Council adopted "Impact Fee Report" provides the necessary findings required by the Act for adoption of the fees presented in the impact fee schedules. Limitations and Other Important Factors All development impact fee ‐ funded capital projects are programmed through the City's 6 ‐ Year CIP, by which the City identifies and directs its fee revenue to new public facilities/infrastructure projects that will accommodate future growth. By programming fee revenues to specific capital projects, the City ensures a reasonable relationship between new development and the use of fee revenues as required by the Mitigation Fee Act.

Goals for Capital Investment The goal for the use of this fund during this period is to fund the building of a new Fire Station in the City.

Revenues ‐ Other includes interest income and interfund loans from Fund 302 (Park Maintenance), Fund 303 (Local Drainage Impact) and Fund 348 (Library Impact). Expenditure ‐ Other includes annual transfers ‐ out to the General Fund for administration and infrastructure planning, debt service, and transfers ‐ out for interfund loan repayments.

Six ‐ Year Pro Forma

2023 ‐ 24 YE 2024 ‐ 25

2025 ‐ 26

2026 ‐ 27

2027 ‐ 28

2028 ‐ 29

2029 ‐ 30

Fund 315 ‐ Public Safety Facilities Impact Beginning Fund Balance Revenues ‐ Impact Fees

Projected

$ 3,050,728 $

341,321 $ 1,834,042 $ 2,788,004 $ 3,112,496 $ 2,809,418 $ 2,182,016

423,468

1,697,212 3,006,002 2,829,682

1,916,810 300,327

1,551,770

676,621 33,086

366,929

253,649

Revenues ‐ Other

7,874,000 10,460,841

33,768

18,357

1,031

Expenditures ‐ CIP Projects

‐

‐

‐

‐

‐

Expenditures ‐ Other Ending Fund Balance

546,034

380,812

1,263,175

1,261,046

1,012,785

1,012,688

762,999

$ 341,321 $ 1,834,042 $ 2,788,004 $ 3,112,496 $ 2,809,418 $ 2,182,016 $ 1,673,698