San Mateo is adjusting its parks and recreation infrastructure plans due to a change in how critical development fee revenue is collected, significantly impacting its financial position in the near term.
A lot of the funding for parks and recreation projects come from in-lieu fees, which are one-time fees developers pay, historically at the beginning stages of their projects. But due to changes in state law, the in-lieu fees are now collected once developments are fully built, meaning the department will have to use current funds to bridge the gap.
“We are in for a 12- to 18-month dry spell of zero fees,” Business Manager Suzette Silberman said during a Parks and Recreation Commission meeting March 25. “Our revenue projections for this fiscal year are zero and for next fiscal year are zero.”
Fortunately, the city likely has the most robust development pipeline in the county, however, it will still take years for those units to become entitled and fully constructed. The department is projecting up to 3,700 new residential units coming online over the five-year plan period.
“This could be a lot of money, but it’s hard to plan for,” Silberman said.
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The department’s five-year capital improvement plan from fiscal year 2027 to 2031 — which starts this July — includes upgrading parks, playgrounds and recreation facilities across the city. Between this fiscal year and next, the plan includes funding for synthetic field replacements at Los Prados and Martin Luther King Jr. parks, as well as upgrades to Trinta and Washington parks and repairs at the Japanese Garden, among others. It also includes a long-awaited comprehensive assessment of the city’s aging recreation facilities.
The meeting also included discussions about the Joinville pool improvements. About $2.3 million that was originally earmarked for the facility is now being returned to city funds, while the department completes the broader needs assessment to determine the best path forward for the project — and whether Joinville should be rebuilt as a pool at all.
“That’s up for conversation,” Parks and Recreation Director Joanne Magrini said in response to a commissioner’s inquiry during the meeting.
Upgrading or rebuilding the pool presents unique engineering challenges, as it’s below the water table at high tide, causing groundwater to push up through cracks in the structure, creating sanitary concerns.
Other projects included in the five-year plan are updates to the Skate Plaza, Laurelwood Park Playground and Central Park Tennis Courts.
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