By Olin Ericksen
Staff Writer

December 1 -- With thousands of Westside parents already paying the equivalent of a car loan for day care, Santa Monica vaulted over other California cities Tuesday when the City Council imposed the highest building fees in the state to fund new child service facilities.

While some council members suggest the fees are too high -- 300 to 500 percent more than any other city for developments over 7,500 square feet -- most said the high rates are a necessary step to curb the dramatically rising cost of daycare.

"It comes down to are we serious about getting child care facilities or not," said Council member Ken Genser, who was on the council in 1990 when the first child care master plan was adopted by the City.

Patti Oblath, co-chair of the Child Care and Early Education Task Force, said the law -- which standardizes fees now negotiated with individual developers -- is a watershed for families.

"We applaud this huge step," said Oblath, who, with others on the task force formed in 1980, lobbied nearly six years to standardize the fees. "We're delighted it is before you here tonight."

Under the law, developers of office buildings larger than 7,500 square feet would pay the most -- $5.27 per square foot – with the money used to offset the impact of new development on childcare.

Developers of large retail spaces that exceed that density threshold would pay $3.77 per square foot, while hotels can expect to pay $2.64, under the ordinance.

There was some debate over whether to impose the fee for residential projects at a time when the City is struggling with escalating rents and a dearth of affordable housing.

In the end, the council voted to impose a flat fee of $111 per unit, except for those that are affordable, a move that was not recommended by the City-endorsed Child Care and Early Education Task Force.

Mayor Bob Holbrook, who abstained from the 5 to 0 vote, unsuccessfully argued that affordable housing developers, such as Community Corporation, should share the burden.

For members of the task force -- who have lobbied for a childcare facility or fees in nine major development agreements, including those for Saint John’s Health Center and the Water Garden office complex -- the move means no more negotiating.

Although many at the meeting hailed the vote, Holbrook and Council member Bobby Shriver worried that the development fees -- based on a 2005 study -- may be too high.

"I'm a complete supporter of childcare… at the same the fact that we are 500 percent higher is a pretty aggressive posture," said Shriver, who ultimately supported the measure. "It's a big number."

Fears that high fees could dampen development was a primary reason some cities had kept their rates closer to $1 per square foot, staff acknowledged.

"There are concerns (in other cities) that the fees could become a hindrance to development," said Andy Agle, the Planning Department’s assistant director.