TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Bob Moehling, Director of Public Works
PREPARED BY: Jeff Hitch, City Engineer
SUBJECT: Approve a Two-Year Extension to Comply with Assembly Bill 2234
Online Permitting System Requirements
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RECOMMENDATION
recommendation
Approve an extension of up to two years as allowed by California Government Code Section 65913.3.5 by making a written finding that adopting an online permitting system by January 1, 2024, would result in a substantial increase in permit fees and that the City of Murrieta has initiated a procurement process to complete the online permitting system by January 1, 2026.
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PRIOR ACTION/VOTE
None.
CITY COUNCIL GOAL
Maintain a high performing organization that values fiscal sustainability, transparency, accountability and organizational efficiency.
BACKGROUND
Governor Newsom approved Assembly Bill (AB) 2234 on September 28, 2022, which is an act to amend Section 65589.5 and add Sections 65913.3 and 65913.3.5 to the Government Code relating to planning and zoning. The main objectives of the legislation were to require agencies to provide expanded information and streamline and limit submittal review time frames for post-entitlement phase permits. These types of permits in the City of Murrieta (City) generally include building permits, grading permits, and off-site street improvement encroachment permits. The general provisions of AB 2234 require the City to do the following by January 1, 2024:
1. Compile a list of information needed to approve or deny a post-entitlement phase permit;
2. Post an example of a complete, approved application and an example of a complete set of post-entitlement phase permits for at least five types of housing development projects;
3. Provide an option for post-entitlement phase permits to be applied for, completed, and retrieved by the applicant on the City’s internet website, and accept applications for post-entitlement phase permits by electronic mail until that process has been established; and
4. Establish time limits for completing reviews regarding whether an application for a post-entitlement phase permit is complete.
AB 2234 allows for an extension of up to two years for the City to comply with the requirement for permits to be applied for, completed, and retrieved by the applicant on the City’s internet website. The City has online permit processing software called EnerGov, which went live in February 2023. While the software is currently being used, it does not meet the requirements of AB 2234. Attempting to do so by January 1, 2024, would require the system owner, Tyler Technologies, Inc, to allocate resources on a short notice or emergency basis, resulting in significant expenditures. The City can recover costs associated with system updates as part of the annual user fee permit fees. The City has current contracts with Tyler Technologies, Inc., to provide updates and modifications to the software. Software modifications are anticipated to be completed to achieve compliance with AB 2234 within the two-year extension period by January 1, 2026.
FISCAL IMPACT
Currently, the total cost associated with the EnerGov system modifications to ensure compliance with AB 2234 is unknown. An amendment to the existing agreement will require additional funding, either to extend the contract amount or scope of work. City staff will bring a report for City Council consideration to amend the agreement with Tyler Technologies, Inc., once the costs and scope of work to update the EnerGov software are determined.