All Forum Posts by: John A Murray

Mine was a straight garage conversion $200 sf all in finished October 2021 took four months.

Good luck with youe project.

Mirtha I would follow the Chico School District grievance procedure so that you are procedurally correct. File your complaint, attend the hearing (probably zoom) and present your evidence. Won't change their mind but you'll be on the record in the appropriate fashion. Anyone in this situation should do the same (I did so also).

Hi Mirtha,

I am waiting to see what the DOJ does with the report the HCD is preparing to submit to them. The DOJ will have to "interpret" the law to legally clarify the issue of compliance vs non-compliance with the law(s), which could take some time. I'm not going anywhere, however. Neither is the lawyer who is waiting for this determination too.

Money grubbing Long Beach Unified just got their third school bond passed in the last 11 years for a total of $5 BILLION dollars. Since they now have to only get a simple majority instead of the two-thirds majority previously required we now see new bond measures every six years or so. My new neighbor down the street pays over $2k annually for these bonds DECADES of debt. Their greed is astonishing! There is nothing to mitigate with a small studio ADU; there will be no K-12 students living here, regardless.

The city is in cahoots with the school district too. They will not accept anything ADU until you take their paperwork to the school district office and pay up.

The HCD is now looking closely at the school fee issue. Ultimately, the California DOJ will need to provide a formal "interpretation" to determine if the law does prohibit this fee. Such interpretation review is a slow possibly two-year process. Here is email I received after I supplied comprehensive ADU school impact fee information to the HCD:

"Hi Mr. Murray,
HCD supports our school districts and their need to raise funds, however in general, HCDs position is that indeed as impact fees on housing there must be a nexus of impact on school population which compliance with mitigation fee act requires in Ed Code. Since impact fees on ADUs are governed by Mitigation fee act also, HCDs renewed argument Is that impact fees, including school districts, cannot charge fees on units less than 750 square feet.
I have taken the project at the request of Gerlinde (Bernd-HCD) . While we will send this to DOJ it is completely their discretion whether they act further. HCD, including our legal team, is going to put the best case forward. Your sleuthing has given us additional evidence to substantiate our reasoning that support our claim that school districts are not uniformly applying the law which requires guidance and possible correction from the AG."

Gratefully,
Michael McLaughlin

Housing Policy Specialist

Among other information, I found that the largest 15 school districts in California do not charge school impact fees for ADU's under 500 square feet. However, it appears that many do charge school impact fees for ADU's over 500 square feet.

In the last 2 and 1/2 years (January 1, 2020 through June 30, 2023) Long Beach alone has forced ADU permit applicants of less than 500 sf to pay over one million dollars in school impact fees.

The California Department of Justice, in conjunction with the California Department of Housing and Community Development, is investigating the charging of School Impact fees. They are looking to find out what cities force ADU applicants to pay School Impact Fees on less-than 500 sq. ft. ADU's.

Please let me know if you are aware of the cities that do.

Thank you!

The California Department of Justice, in conjunction with the California Department of Housing and Community Development, is investigating the charging of this fee. They are looking to find out what cities force ADU applicants to pay School Impact Fees on less-than 500 sq. ft. ADU's.

Please let me know if you are aware of the cities that do.

Thank you!

The California Department of Justice, in conjunction with the California Department of Housing and Community Development, is investigating the charging of this fee. They are looking to find out what cities force ADU applicants to pay School Impact Fees on less-than 500 sq. ft. ADU's.

Please let me know if you are aware of the cities that do.

Thank you!

I've been patiently waiting for the HCD since October 2021 to re-determine whether School Districts can charge this fee, emailing requests for updates periodically, with no responses-ever. When I recently saw the updated 2022 ADU Handbook that they just released, it still contained the language that School Districts may not charge this fee for less-than 500 sf ADU'S. So I stepped up my inquiries and still no response. Frustrated, I filed Public Records Act requests with the HCD, and the next day recieved a call from the new ADU head Gerlinde Bernd. To make a long story short, she said they are still trying to figure out what to do, and she will get back with me in a month.

She is fully aware of the situation and the same position of many School Districts that charge this fee but also aware of the School Districts that don't charge this fee. The Districts that I spoke to that don't charge this fee do not do so as a result of the determination of the HCD. Should the HCD change their position I would imagine they will be upset with the HCD due to the lost revenue. I would also imagine they might go after the HCD for compensation. We are talking lot's of money.

Dan I have contacted everybody; state senators, assmblymen, school board members, county supervisors, city councils, city management/attorneys, senator Weinkowski etc and most wouldn't even respond. Some respond once and then disappear. Pretty discouraging.

I'll post here when I hear back from Ms. Bernd.

And here is the kicker, forget about ADU's for now. Long Beach (and many others I bet) has charged school impact fees for less-than 500 sf residential construction even after the 2002 California Appeals Court decision outlined below says it's illegal. There are a lot of illegal fees charged that merit refunds. This needs to be corrected also.

Education Code section 17620 also provides in relevant part that school districts may

levy fees for residential construction, but only as to construction that is either:

• “New residential construction;” (Ed. Code, § 17620, subd. (a)(1)(B).)

• Or “… to other residential construction, only if the resulting increase in

assessable space exceeds 500 square feet.” (Id., subd. (a)(1)(C).)

HCD understands Warmington Old Town Associates v. Tustin Unified

School District (2002) 101 Cal.App.4th 840 to underpin its position. The court in

Warmington had occasion to interpret these two provisions of the Education Code. The

court noted that the term “new construction” offered little to clarify the matter since all

construction by its very nature is new. (Id. at p. 851.) Looking at the statutory

construction and legislative intent, the Warmington court reasoned that the phrase

“other residential construction” was intended to apply to residential improvements by

individual homeowners making improvements to their own properties. (Id. at p. 854.)

The intent is to encourage homeowners to make improvements and to apply for

permits to do so properly “without fear of being subjected to the school-impact fees” so

long as the new accessible space does not exceed 500 square feet. (Id. at p. 854.)

What I have tried to impress upon the entities I have been in contact with is that the HCD is the State Agency tasked with enforcing ADU law. The LBUSD seems to feel like they have veto power over the position of the HCD in this regard. Per their management, Long Beach Development Services is afraid of the LBUSD suing them if they stop forcing applicants to pay school fees. They too have chosen to disregard the position of the HCD.

The Legislature has given HCD particular authority to shepherd the development and
application of State ADU Law. (Gov. Code, § 65852.2, subds. (h), (i).) Among other
things, HCD is charged with reviewing local ordinances for compliance with the law
and providing technical assistance in the form of letters and a technical assistance 
handbook. Among the changes made to facilitate the development of ADUs were
limitations on impact fees that may be charged by local agencies. (See, e.g., Gov.
Code, § 65852.2, subd. (f)(3).)