title
ADOPT A RESOLUTION APPROVING THE SAN JOAQUIN COUNTY MULTI-SPECIES HABITAT CONSERVATION AND OPEN SPACE PLAN 2026 DEVELOPMENT FEE SCHEDULE
recommended action
RECOMMENDATION
It is recommended that the City Council:
1. Adopt a resolution approving the San Joaquin County Multi-Species Habitat Conservation and Open Space Plan 2026 Development Fee Schedule.
2. It is further recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of the resolution.
body
Summary
On November 14, 2000, the San Joaquin Council of Governments, Inc. (SJCOG, Inc) established the San Joaquin County Multi-Species Habitat Conservation and Open Space Plan (“Plan” or “SJMSCP”). The Plan provides a strategy for balancing the need to accommodate new development with encouraging the preservation of open space, agricultural areas, and protected species habitat in San Joaquin County. Participation in the Plan is voluntary and available to the development community as an option to pay a fee to mitigate habitat impacts from their development projects. Developers can fulfill mitigation obligations more efficiently with Plan participation and avoid negotiating mitigation measures with various Federal and State environmental protection agencies for their individual projects.
On February 20, 2001, the City of Stockton adopted the Plan.
SJCOG, Inc. collects the fees which are used to purchase permanent habitat preservation areas. Developers who do not participate in the Plan must provide their own project level analysis during the entitlement or construction permit process for proposals that could negatively impact natural resources in the region. The Plan fees are updated annually. To become effective, the fees must be adopted by the elected officials of each participating jurisdiction. Last year’s fees were adopted by the Stockton City Council on November 12, 2024.
Over the past year, SJCOG, Inc. and the Habitat Technical Advisory Committee (HTAC) financial subcommittee, worked with a consultant to complete the required 5-year financial analysis of the Plan fees and methodology. The last financial analysis update was completed in 2020. The main areas of focus for the 2025 update were the categories of the fee model regarding land costs for mitigation (Category A), required restoration/enhancement costs on preserve lands (Category B), and monitoring, management and administration of the program and preserves (Category C). Following the review, the subcommittee decided to continue with the previous financial model with minor adjustments. It was maintained to respond to market fluctuations and cost changes.
On September 25, 2025, the SJCOG, Inc. Board of Directors approved the 2026 Plan Development Fee Schedule (Attachment A - SJMSCP Staff Report). SJCOG, Inc. proposes an approximate 8.3% overall increase in the Agricultural and Natural Habitat Classifications from the prior year, which are the two most common areas impacted by development projects. As shown in Attachment A, the 2025 Fee for the Agricultural and Natural Habitat Classification was $16,492 and is now proposed to be $17,868 in 2026. The increase will help to offset rising costs to acquire and manage preserve lands.
The Stockton City Council is requested to approve the proposed fee schedule. The SJMSCP Compensation Zones for Stockton are mostly located on the outer parts of the City (see Attachment B - SJMSCP Compensation Zone Map). This map displays the classification of land within San Joaquin County into categories based on their general habitat type. These zones guide the compensation of development fees that would be charged to conduct permitted activities pursuant to Section 8.2.1 of the SJMSCP.
DISCUSSION
Background
In 2001, the City adopted the Plan and became a participant in the Plan by joining the Joint Powers Authority (JPA). As a participant in the JPA, the City Council is required to approve the annual fee adjustments. Annual Plan fee rates are determined using a financial model that SJCOG, Inc. maintains and updates at 5-year increments to address land sales market conditions and inflation changes. In the past, delayed fee updates have resulted in lack of funding for the purchase and preservation of areas, as well as significant fee increases for the development community. To accommodate changing market conditions and to provide clarity in fees, SJCOG has become more proactive in the Plan’s fee assessment.
For multiple months, SJCOG, Inc.’s HTAC financial subcommittee reviewed land sales market data and analysis. The HTAC consists of planning staff from local county and city agencies (including Stockton), building industry associations, and state and federal environmental protection agencies. The proposed 2026 Development Fee Annual Adjustment is based on the 2025 SJMSCP 5-year Financial Model Update. The Habitat Fee must be adopted by each local jurisdiction to take effect in that community.
The collected fees are used to purchase and preserve land throughout San Joaquin County. Additional costs cover the restoration of land, monitoring, reporting, and biological reviews of land subject to the overall Plan. The SJCOG, Inc. 2024 Preserve List demonstrates 116 total preserves within San Joaquin County.
There are no preserve areas located within the City of Stockton. The Jacques Highway 4 Preserve, D’Alonza Property Preserve, and the Torlai Property Preserve are the closest to City limits. These three preserves are located in the Delta Index Zone, west of Interstate 5 and south of Highway 4. These lands are protected through land covenants (i.e., easements, restrictions) that prevent development and can also include possible improvements to restore or encourage new habitat. A map of the regional preserve areas is included in Attachment C - Regional Preserve Areas.
On February 20, 2001, the Stockton City Council adopted three Resolutions as follows:
1. Resolution No. 01-0099 -- Certifying the Final Environmental Impact Report/Environmental Impact Statement (Final EIR/EIS), adopting the related California Environmental Quality Act (CEQA) Findings and Mitigation Reporting/Monitoring Program, and adopting the SJMSCP;
2. Resolution No. 01-0100 -- Adopting the Implementation Agreement of the SJMSCP authorizing the filing of the related Federal Endangered Species Act Section 10(a)(1)(B) Incidental Take Permit application with the U.S. Fish and Wildlife Service; and
3. Resolution No. 01-0101 -- Approving amendments to the JPA Agreement with SJCOG, Inc. authorizing SJCOG, Inc. to assume responsibilities specified in the SJMSCP.
Applicants that participate in the Plan benefit from a predetermined streamlined process. By participating in the Plan, the applicant may choose from a menu of options to mitigate impacts:
1. Pay the Plan Fee;
2. Redesign the project to avoid/minimize impacts;
3. Provide land in lieu of the Plan Fee; or
4. Any combination of the above options.
Alternatively, an applicant can choose not to participate in the Plan and fulfill mitigation requirements independently with the respective permitting agencies. This option is chosen less often by developers.
Originally, the city collected Plan fees at the time of building permit issuance, like other development impact fees in the City’s Public Facilities Fee Program. This is no longer the policy. Plan fees for individual projects are adjusted to ensure that the per-acre fee as established by SJCOG, Inc. is collected for the entire (gross) project area. For example, a home to be built on a parcel within a large subdivision relies on additional land to support the residential use, like the road to access it. The adjusted development fee includes the supporting land so that all the acreage is accounted for within a given project area, and the appropriate Plan fee is paid.
On December 15, 2009, City Council adopted Resolution Number 09-409, which authorized an amendment to the Public Facility Fee Program’s Administrative Guidelines to establish SJCOG, Inc. as the entity responsible for the collection of the development fee. This change was made to increase administrative efficiency in the calculation and collection of Plan fees. Currently SJCOG, Inc. collects Plan fees, prior to the issuance of building permits by the city.
Plan fees may adjust annually based on the review of comparable land sales. The past and proposed plan fees (in italics) are shown below in Table 1.
Table 1 - Plan Fees 2021-2026 (Rate per acre)
|
TYPE/ YEAR |
2021 |
2022 |
2023 |
2024 |
2025 |
2026 |
|
Multi-Purpose Open Space |
$ 8,682 |
$ 9,781 |
$ 9,629 |
$ 8,918 |
$ 8,246 |
$ 8,935 |
|
Agriculture/ Natural |
$ 17,363 |
$ 19,561 |
$ 19,255 |
$ 17,833 |
$ 16,492 |
$ 17,868 |
|
Vernal Pool Grasslands |
$ 71,544 |
$ 80,453 |
$ 75,320 |
$ 69,408 |
$ 65,490 |
$ 72,662 |
|
Vernal Pool Wetted |
$161,286 |
$174,040 |
$176,878 |
$177,724 |
$177,281 |
$183,894 |
Present Situation
The fee model uses three main categories to calculate fee rates:
I. Category A (Acquisition) - Comparable
Category A considers comparable land sales in San Joaquin County in specific zones of the plan area (Central Zone, Central Southwest Transition Zone, and Delta Zone) over an established two-year period meeting the established criteria. Cost estimates are evaluated annually. There was a 15.1% increase in the Agricultural/Natural Habitat types of Category A component to be $11,056. This is due to the rise in comparable fee title land sale values.
II. Category B (Assessment & Enhancement) - Refined Cost Factors/Redistribution of Habitat/ Consumer Price Index
Category B considers assessment, restoration and enhancement costs on preserve lands. This category considers the remaining acres needed to meet the goal of preserve acreage to be provided before the plan’s expiration. There was a 2.0% increase in the Agricultural/Natural Habitat types of Category B component to be $6,185.
III. Category C (Management, Monitoring and Administration) - Refined Cost Factors/Long Term Investment/Consumer Price Index
Category C considers the management of preserve land and Plan implementation. There was a 23.3% decrease in the Agricultural/Natural Habitat types of Category C component from previous years, to be $627.
Plan Mitigation Fee Formula = Proposed 2026 Plan Fees
The formula for fee calculation is Category A (acquisition) + Category B (assessment & enhancement) + Category C (management, monitoring and administration).
Below are the 2025 SJMSCP Fees and calculations in Table 2, and the proposed 2026 Plan Fees and calculations in Table 3.
Table 2 - 2025 SJMSCP Development Fees
|
Habitat Type |
Category A |
Category B |
Category C |
Total Fee |
Rounded Fee |
|
Other Open Space |
$4,804.00 |
$3,033.00 |
$409.47 |
$8,246.47 |
$8,246 |
|
Natural/Ag |
$9,608.00 |
$6,066.00 |
$817.74 |
$16,491.74 |
$16,492 |
|
Vernal Pool Grasslands |
$48,084.00 |
$15,386.00 |
$2,019.72 |
$65,489.72 |
$65,490 |
|
Vernal Pool Wetted |
$48,270.00 |
$127,031.00 |
$1,980.10 |
$177,281.10 |
$177,281 |
Table 3 - Proposed 2026 SJMSCP Development Fees
|
Habitat Type |
Category A |
Category B |
Category C |
Total Fee |
Rounded Fee |
|
Other Open Space |
$5,528 .00 |
$3,093.00 |
$314.00 |
$ 8,935.00 |
$8,935 |
|
Natural/Ag |
$11,056.00 |
$6,185.00 |
$627.00 |
$17,868.00 |
$17,868 |
|
Vernal Pool Grasslands |
$55,474.00 |
$15,764.00 |
$1,424.00 |
$72,662.00 |
$72,662 |
|
Vernal Pool Wetted |
$54,519.00 |
$127,980.00 |
$1,395.00 |
$183,894.00 |
$183,894 |
Although the city adopted several Public Facility Fee Reduction Programs and a Fee Deferral Program for specified fees within the city’s control, fees like the Countywide Habitat Conservation Plan (HCP) Fee are subject to a regional agreement that was promulgated by the Federal and State Endangered Species Act. The administration of this fee is detailed in the Countywide HCP, where SJCOG Inc. is the designated administrator. Methodologies and fee analyses are overseen by SJCOG staff, HTAC financial subcommittees and consultants. As a result, these “development fees” are not subject to reduction and deferral programs as they are not city fees and are considered as “pass-through” fees.
PUBLIC NOTICE
A public notice of this hearing was published in the Record on November 28, 2025.
FINANCIAL SUMMARY
There is no direct financial impact to the City of Stockton, as the development fees are collected directly by SJCOG, Inc.
Attachment A - SJMSCP Staff Report
Attachment B - SJMSCP Compensation Zone Map
Attachment C - Regional Preserve Areas