422.4

SEC. 422.4. IMPOSITION OF COMMUNITY IMPROVEMENTS IMPACT FEE. (a) Determination of Requirements. The Department shall determine the applicability of Section 422.1 et seq. to any development project requiring a building or site permit and, if Section 422.1 et seq. is applicable, the amount of Community Improvements Impact Fees required and shall impose these requirements as a condition of approval of the development project. The project sponsor shall supply any information necessary to assist the Department in this determination. (b) Department Notice to Development Fee Collection Unit at DBI. Prior to the issuance of a building or site permit for a development project subject to the requirements of Section 422.1 et seq., the Department shall notify the Development Fee Collection Unit at DBI of its final determination of the amount of Community Improvements Impact Fees required, including any reductions calculated for an In-Kind Improvements Agreement, in addition to the other information required by Section 402(b) of this Article. (c) Development Fee Collection Unit Notice to Department Prior to issuance of the First Certificate of Occupancy. The Development Fee Collection Unit at DBI shall provide notice in writing or electronically to the Department prior to issuing the first certificate of occupancy for any development project subject to Section 422.1 et seq. that has elected to fulfill all

or part of its Community Improvements Impact Fee requirement with an In-Kind Improvements Agreement. If the Department notifies the Unit at such time that the sponsor has not satisfied any of the terms of the In-Kind Improvements Agreement, the Director of DBI shall deny any and all certificates of occupancy until the subject project is brought into compliance with the requirements of Section 422.1 et seq., either through conformance with the In-Kind Improvements Agreement or payment of the remainder of the Community Improvements Impact Fees that would otherwise have been required, plus a deferral surcharge as set forth in Section 107A.13.3.1 of the San Francisco Building Code. (d) Process for Revisions of Determination of Requirements. In the event that the Department or the Commission takes action affecting any development project subject to Section 422.1 et seq. and such action is subsequently modified, superseded, vacated, or reversed by the Department or the Commission, Board of Appeals, the Board of Supervisors, or by court action, the procedures of Section 402(c) of this Article shall be followed. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010; Ord. 55-11, File No. 101523, App. 3/23/2011) SEC. 422.5. BALBOA PARK COMMUNITY IMPROVEMENTS FUND. (a) Purpose. There is hereby established a separate fund set aside for a special purpose entitled the Balboa Park Community Improvements Fund ("Fund"). All monies collected by the Development Fee Collection Unit at DBI pursuant to Section 422.3 shall be deposited in the Fund maintained by the Controller. The receipts in the Fund shall be appropriated in accordance with law through the normal budgetary process to fund public infrastructure and other allowable improvements subject to the conditions of this Section. (b) Use of Funds. (1) Community Improvements. All monies deposited in the Fund shall be used to design, engineer, acquire, improve, and develop pedestrian and streetscape improvements, bicycle infrastructure, transit, parks, plazas and open space, as defined in the Balboa Park Community Improvements Program with the Plan Area. Funds may be used for childcare facilities that are not publicly owned or "publicly-accessible." The Fund shall be allocated in accordance with Table 422.5.

Table 422.5. BREAKDOWN OF USE OF BALBOA PARK COMMUNITY IMPROVEMENTS FEE/FUND BY IMPROVEMENT TYPE Improvement Type Dollars Received From Residential Development Dollars Received From Commercial Development Complete Streets: Pedestrian and Streetscape Improvements, Bicycle Facilities 38% 38% Transit 12% 12% Recreation and Open Space 30% 30% Childcare 15% 15% Program Administration 5% 5%

(2) Program Administration. No portion of the Fund may be used, by way of loan or otherwise, to pay any administrative, general overhead, or similar expense of any public entity, except for the purposes of administering this Fund in an amount not to exceed 5% of the total annual revenue. Administration of this Fund includes maintenance of the Fund, time and materials associated with processing and approving fee payments and expenditures from the Fund (including necessary hearings), reporting or informational requests related to the Fund, and coordination between public agencies regarding determining and evaluating appropriate expenditures of the Fund Monies from the Fund may be used by the Planning Commission to commission economic analyses for the purpose of revising the fee, or to complete an updated nexus study to demonstrate the relationship between development and the need for public facilities if this is deemed necessary. All interest earned on this account shall be credited to the Balboa Park Community Improvements Fund. (c) Acquisition of New Open Space. A public hearing shall be held by the Recreation and Parks Commission to elicit public comment on proposals for the acquisition of property using monies in the Fund that will ultimately be maintained by the Department of Recreation and Parks. Notice of public hearings shall be published in an official newspaper at least 20 days prior to the date of the hearing, which notice shall set forth the time, place, and purpose of the hearing. The Parks Commission may vote to recommend to the Board of Supervisors that it appropriate money from the Fund for acquisition and development of property acquired for park use. (d) The Planning Department shall work with other City agencies and commissions, specifically the Department of Recreation and Parks, DPW and MTA, to develop a proposed expenditure plan and to develop agreements related to the administration of the improvements to existing public facilities and development of new public facilities within public rights-of- way or on any acquired public property. The proposed expenditure plan shall be approved by the Board of Supervisors. (e) The Director of Planning shall have the authority to prescribe rules and regulations governing the Fund, which are consistent with this Section 422 et seq. The Director of Planning, as the head of the Inter-Agency Plan Implementation Committee (IPIC), shall make recommendations to the Board regarding allocation of funds. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010; amended by Ord. 263-13, File No. 130549, App. 11/27/2013, Eff. 12/27/2013; Ord. 50-15 , File No. 150149, App. 4/24/2015, Eff. 5/24/2015; Ord. 188-15 , File No. 150871, App. 11/4/2015, Eff. 12/4/2015) AMENDMENT HISTORY [Former] division (d) amended; Ord. 263-13, Eff. 12/27/2013. Divisions (a)-(b)(2) amended; former divisions (c) and (d) deleted; former divisions (e)-(g) redesignated as [now former] divisions (d)-(f) and amended; Ord. 50-15 , Eff. 5/24/2015. Divisions (b)(1) and (b)(2) amended; former divisions (d)-(f) redesignated as (c)-(e); Ord. 188-15 , Eff. 12/4/2015. [EASTERN NEIGHBORHOODS IMPACT FEES AND PUBLIC BENEFITS FUND] SEC. 423. EASTERN NEIGHBORHOODS IMPACT FEES AND PUBLIC BENEFITS FUND. Sections 423.1 through 423.5 set forth the requirements and procedures for the Eastern Neighborhoods Impact Fee and Public Benefits Fund. The effective date of these requirements shall be either December 19, 2008, which is the date that these requirements originally became effective, or the date a subsequent modification, if any, became effective. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010) SEC. 423.1. PURPOSE AND FINDINGS SUPPORTING EASTERN NEIGHBORHOODS IMPACT FEES AND COMMUNITY IMPROVEMENTS FUND. (a) Purpose. The Board takes legislative notice of the purpose of the Eastern Neighborhoods Area Plan as articulated in the Eastern Neighborhoods Area Plan of the San Francisco General Plan. San Francisco’s Housing Element establishes the Eastern Neighborhoods as a target area for development of new housing to meet San Francisco’s identified housing targets. The release of some of the area’s formerly industrial lands, no longer needed to meet current industrial or PDR needs, offer an opportunity to achieve higher affordability, and meet a greater range of need. The Mission, Showplace Square - Potrero Hill, Central SoMa, East SoMa, Western SoMa and Central Waterfront Area Plans of the General Plan (Eastern Neighborhoods Plans) thereby call for creation of new zoning intended specifically to meet San Francisco’s housing needs, through higher affordability requirements and through greater flexibility in the way those requirements can be met, as described in Section 419. To support this new housing, other land uses, including PDR businesses, retail, office and other workplace uses will also grow in the Eastern Neighborhoods. This new development will have an extraordinary impact on the Plan Area's already deficient neighborhood infrastructure. New development will generate needs for a significant amount of public open space and recreational facilities; transit and transportation, including streetscape and public realm improvements; community facilities and services, including child care; and other amenities, as described in the Eastern Neighborhoods Community Improvements Program, on file with the Clerk of the Board in File No. 081155.