Top 3 Key Takeaways

1. New $12,327 Water Capacity Fee Approved for Zone 6 Development

The board introduced Ordinance 67 establishing a water capacity fee of $12,327 per equivalent dwelling unit for new development in Zone 6. This fee will fund approximately $115 million in major water supply expansion projects, including the North Area Groundwater Phase 1 and B.F. Sisk Dam Raise projects. The fee was re‑introduced after staff recommended repealing Ordinance 66 and refunding collected fees due to a notice issue with the Building Industry Association (BIA). A public hearing and second reading is scheduled for December 17, 2025, with the fee becoming effective 61 days after adoption. The BIA requested that projects with approximately 350 homes holding approved final maps be allowed to prepay existing local connection fees and avoid the new capacity charge, but staff emphasized that delaying implementation would reduce near‑term collections and likely require higher fees later to fund planned water supply projects.