Section 1878.1 - Reimbursement of Local Agencies(a) Costs eligible for reimbursement. (1) Local agencies shall be reimbursed for costs incurred in accordance with actual services performed by the local agency, provided that the local agency follows the procedures set forth in this section. These costs include: (A) permit fees, including traffic impact fees, drainage fees, park-in-lieu fees, sewer fees, public facilities fees and the like, but not processing fees, that the local agency would normally receive for an application for a facility as defined in Public Resources Code section 25545(b) in the absence of commission jurisdiction, and(B) the added costs of services performed directly in response to commission requests for review that are not normally covered by the permit fee and for which a fee is normally charged. This does not include expenses incurred prior to a commission request for review or expenses incurred for review beyond the scope of the commission request.(b) Costs ineligible for reimbursement. A local agency may not be reimbursed under this section for the following types of costs, even if actually incurred: (1) expenses incurred by a local agency for the presentation or defense of positions not reasonably related to the matters that the agency is requested to review or not within the area of the agency's expertise; this includes attorneys' fees and costs associated with advocating for or against commission approval of the facility.(2) expenses for which it receives payment from other sources; or(3) entertainment and first class travel expenses.(c) Procedure for approving reimbursement budgets.(1) To be eligible for reimbursement, a local agency must receive a request for review from the Executive Director or delegee.(2) To apply for reimbursement, a local agency shall, within 21 days of receiving a request for review from the commission, file an itemized proposed budget with the staff and the applicant estimating the actual and added costs that are likely to be incurred during such review. The proposed budget shall justify each line item amount and explain how each line item is reasonably related to the matters which the agency is requested to review. A local agency's failure to file a proposed budget within the time period specified herein shall not prevent it from receiving reimbursement; however, failure to use the approval process described in this section creates a risk that the local agency will not be reimbursed for work already performed.(3) Within 10 working days of receiving a proposed budget, the staff shall notify the agency, in writing, whether the proposed budget is complete or incomplete. If the proposed budget is incomplete, the staff shall provide the local agency with a list of deficiencies that must be corrected to complete the proposed budget request.(4) If neither the commission staff nor the project applicant files a written objection to the proposed budget within 10 working days after the proposed budget is determined to be complete, then the proposed budget is deemed approved.(5) If a local agency reasonably incurs costs in responding to a commission request for review of a project before its proposed budget is approved, the local agency may include such costs in the budget retroactively.(6) A local agency may apply for augmentations or other changes to an approved budget by filing a request for an amended budget. Requests for an amended budget shall also be processed in accordance with this subdivision.(d) Procedure for approving reimbursement invoices.(1) A local agency seeking reimbursement must receive approval of its proposed budget before it files an invoice for expenses actually incurred. Reimbursement may not exceed the approved budget.(2) On either a monthly or quarterly basis, the local agency seeking reimbursement shall file with the commission staff and the project applicant an invoice for the expenses actually incurred during the past month or quarter.(3) If the applicant does not object to the invoice within 10 days after receipt, then it shall pay the local agency the amount of the invoice within 14 days of the receipt of the invoice.(e) Resolving disputes. If there is a dispute over a reimbursement budget under subdivision (c) above, or a reimbursement invoice under subdivision (d) above, which cannot be directly resolved between the applicant and the local agency, the local agency or applicant shall notify the Executive Director in writing of the dispute. The Executive Director shall resolve the dispute by filing a written decision based on good cause as demonstrated by any information provided by the applicant and local agency on the merits of reimbursement.Cal. Code Regs. Tit. 20, § 1878.1
Note: Authority cited: Sections 25213, 25218(e) and 25545.12, Public Resources Code. Reference: Sections 25519(f), 25538, 25545, 25545.1 and 25545.8, Public Resources Code.
1. New section filed 9-23-2024 as an emergency; operative 9/23/2024 (Register 2024, No. 39). This action is a deemed emergency and shall remain in effect until amended by the Commission pursuant to Public Resources Code section 25545.12.