Beverly Hills Municipal Code Art. 9 Development Fees

This article may be referred to as the TRANSPORTATION FACILITIES AND PROGRAMS DEVELOPMENT FEE ORDINANCE of the city of Beverly Hills. (Ord. 89-O-2076, eff. 11-16-1989)

The purpose of this article is to establish a transportation facilities and program development fee (hereinafter the "development fee") that imposes upon future commercial, industrial and multiple-family residential development projects an equitable share of the cost of mitigating future transportation facilities and programs needs created by such project. (Ord. 89-O-2076, eff. 11-16-1989)

For the purposes of this article, the following terms shall be defined as follows:

BUILDING PERMIT: A "building permit" as defined in the uniform building code.

CERTIFICATE OF OCCUPANCY: An entitlement to occupy and use a building granted pursuant to section 10-3-2724 of this code.

COMMERCIAL OR INDUSTRIAL DEVELOPMENT PROJECT: The construction or addition of commercial or industrial "floor area", as defined in section 10-3-100 of this code, which requires a building permit. "Commercial or industrial development project" also shall mean any change of use of property which requires a building permit and which will generate additional peak time trips above which can be reasonably associated with the most recent use of the property.

DEVELOPER: The applicant of a building permit for either a commercial or industrial development project or a multiple-family development project.

GOVERNMENTAL OR PUBLIC FACILITIES: Publicly owned or operated buildings and structures used for the purposes of conducting city, county, state or federal government business. Such facilities shall include, but not be limited to, city halls, police and fire stations, offices, equipment yards, sanitation facilities, schools, recreation centers, and similar facilities. Private commercial development projects leasing publicly owned land shall not be considered governmental or public facilities.

MULTIPLE-FAMILY RESIDENTIAL DEVELOPMENT PROJECT: The construction of a building used for multiple-family occupancy and the addition of dwelling units to a building used for multiple-family occupancy.

TRANSPORTATION FACILITIES: Transportation system improvement projects that require physical alteration of the transportation system, including ancillary equipment and facilities. Examples of transportation facilities include, but are not limited to, roadway improvements, signalization improvements, and other ancillary public right of way improvements.

TRANSPORTATION PROGRAMS: Transportation system improvement projects that do not require physical alteration of the transportation system. Examples of transportation programs include, but are not limited to, ridesharing programs, transit subsidies, alternative work week scheduling, education/marketing programs designed to reduce automobile trips, and the personnel and administrative costs of such programs.

TRANSPORTATION SYSTEM FACILITIES AND PROGRAMS IMPROVEMENT PLAN: A systematic program for improving the transportation system specified in the plan in order to mitigate the adverse impacts on such transportation system by new development. The plan shall describe the nature and extent of these improvements and their associated cost estimates. The plan shall be approved by the city council prior to or currently with the adoption of a resolution establishing the amount of the development fee. (Ord. 89-O-2076, eff. 11-16-1989)

Except as otherwise provided in this article, developers of commercial, industrial or multiple-family development projects shall pay a development fee in an amount established by resolution of the city council. The resolution may provide that the fee shall be paid only by those developments located within the boundaries of the transportation district defined by such resolution. The development fee established by resolution shall be based upon the cost to construct transportation system facilities and implement transportation programs to mitigate the additional peak time trips generated by new commercial, industrial and multi-family residential development anticipated to be constructed by January 1, 2000. (Ord. 89-O-2076, eff. 11-16-1989)

Except as otherwise provided in this article, developers of commercial, industrial or multiple-family development projects shall pay a transportation facilities and programs development application fee (hereinafter the "application fee") in an amount established by resolution of the city council. The application fee shall be based on the estimated administrative and personnel costs of determining the amount of development fees to be paid by the developer. (Ord. 89-O-2076, eff. 11-16-1989)

The following developments shall be exempt from the requirements of this article:

A. Governmental or public facilities.

B. Single-family residential development.

C. Churches, temples, synagogues, and other buildings or structures used for religious worship.

D. Public elementary schools and secondary schools.

E. Private schools which meet the requirements contained in California Education Code section 48222, or its successor, so that attendance at such schools complies with California compulsory education requirements.

F. Dwelling units in a multiple-family residential development which are reserved and restricted for occupancy by very low, low or moderate income households as defined under state law. (Ord. 89-O-2076, eff. 11-16-1989)

The director of transportation and engineering, or the director's designee, shall be responsible for calculating the transportation facilities and programs development fees required by this article. This calculation shall be made at the time of application for the building permit for the commercial, industrial or multiple-family residential development project. (Ord. 89-O-2076, eff. 1-16-1989)

A. The application fee shall be paid at the time an application for a building permit is submitted for any commercial, industrial or multiple-family residential development project subject to the transportation facilities and programs development fee.

B. The payment of development fees required by this article shall be made in the following manner:

1. Payment Procedure For Commercial Or Industrial Development Projects: Development fees required by this article from developers of commercial or industrial projects shall be paid at the time that the city issues a building permit for the commercial or industrial development project.

2. Payment Procedure For Phased Commercial Or Industrial Development Projects: If a commercial or industrial development project will be constructed in phases, and separate building permits will be issued for each phase, development fees imposed pursuant to this article shall be calculated on the basis of the floor area of the entire project. However, payment of the fees may be made separately for each phase of the project so that the amount paid upon issuance of a building permit shall be the percentage of the total fee equal to the percentage of the project's floor area permitted to be constructed by the building permit.

3. Payment Procedure For Multiple-Family Residential Development Projects: Development fees required by this article from a developer of multiple-family residential dwelling units shall be calculated prior to issuance of a building permit and paid for the entire development before final inspection of the first dwelling unit in that development on which fees are imposed. For the purpose of this section, "final inspection" is defined as that term is defined in Government Code section 66007, as amended. If a developer of a multiple-family development project does not pay the development fee before a building permit is issued for that multiple-family residential dwelling unit, the developer shall enter into a contract with the city to pay those fees prior to final inspection of the dwelling unit. The contract shall be recorded in the office of the Los Angeles County recorder and shall constitute a lien for the payment of fees required by this article. The lien shall be enforceable against successors in interest to the initial holder of the building permit. The contract also shall require the building permit holder to provide appropriate notification of the opening of any escrow for the sale of the property for which the building permit is issued and to provide in the escrow instructions that the fees required by this article be paid from the sale proceeds in escrow prior to disbursing proceeds to the seller. (Ord. 89-O-2076, eff. 11-16-1989)

A developer subject to a fee required by this article may apply to the city council for a different time or schedule for payment based upon special circumstances of the developer or development project which justify such different time or schedule for payment, or for reduction, adjustment or waiver of that fee based upon the absence of a reasonable relationship between the impact of that person's commercial, industrial or multiple-family residential development project on the demand for transportation facilities and programs in the city and either the amount of the fee charged or the type of facilities to be provided.

A. Application: Requests for a fee adjustment shall be made on an application form provided by the building official and shall be filed with the city clerk not later than the time an application is filed for a building permit for the commercial, industrial or multiple-family residential development project. The application shall state in detail the factual basis for the request for reduction, adjustment or waiver.

B. Hearing: The city council shall consider the fee adjustment application at a public hearing within sixty (60) days after the fee adjustment application is deemed complete by the city clerk. (Ord. 89-O-2076, eff. 11-16-1989)

Upon application, fees collected by the city pursuant to this article, except application fees, shall be refunded by the director of finance administration if the following circumstances have been shown to have occurred:

A. The fees collected pursuant to this article were erroneously collected. An application for refund pursuant to this subsection shall be filed with the director of finance administration no later than ninety (90) days after the initial payment of the fee pursuant to section 3-1-908 of this article.

B. The building permit has expired, and no extension has been granted, for the commercial, industrial or multiple-family residential development project upon which fees were imposed pursuant to this subsection shall be filed with the director of finance administration no later than ninety (90) days after expiration of the building permit. (Ord. 89-O-2076, eff. 11-16-1989)

A person shall be entitled to a reduction in the amount of the development fees required by this article in an amount to be determined by the director of transportation and engineering if that person constructs transportation facilities that are included in the transportation system facilities and programs improvement plan applicable to the development constructed by such person. (Ord. 89-O-2076, eff. 11-16-1989)

Pursuant to Government Code section 66006, there is hereby established a special fund entitled "the transportation facilities and programs improvement fund" for each transportation district established by resolution. The fees paid pursuant to the provisions of this article shall be placed into the special fund established for that transportation district and used solely for the purpose of providing transportation facilities and programs within that district. All monies in the special fund established by this article shall be held separate and apart from other city funds. All interest or other earnings of such special fund shall be credited to that fund. (Ord. 89-O-2076, eff. 11-16-1989)

All monies and interest in the special fund established pursuant to city council resolution shall be expended on transportation facilities and programs as approved by the city council. Such expenditures may include, but shall not be limited to, the following:

A. The reimbursement for all direct and indirect costs incurred by the city for the development of transportation facilities and programs pursuant to this article, including, but not limited to, the costs of land acquisition, planning, legal advice, engineering, design, construction and equipment.

B. The reimbursement for all costs incurred by the city and associated with the administration of each account.

C. The issuance of bonds or notes, secured by the reserve account, for the provision of transportation facilities and programs.

D. Land acquisition, planning, design, and construction (including rehabilitation) which result in the provision of transportation facilities and programs. (Ord. 89-O-2076, eff. 11-16-1989)

Development projects for which all discretionary permits have been granted prior to September 19, 1989, shall be exempt from the requirements of this article. Such exemption shall continue to apply to an exempted development project which is subsequently modified provided that such modification does not increase the number of dwelling units in a multiple-family residential development project or increase the square footage of a commercial or industrial development project. This exemption, however, shall not override any condition of approval for a project which specifically requires payment of fees for the purposes of mitigating impacts on transportation facilities and programs. (Ord. 89-O-2076, eff. 11-16-1989)

Prior to July 1 of each year, during the budget review process, the city council shall review the degree to which fees collected pursuant to this article are mitigating the impacts on transportation facilities and programs caused by new commercial, industrial and multiple-family residential development projects. Five (5) years after the effective date of this article, the city council shall consider a report by the director of transportation and engineering reviewing the fee formulae established to implement the provisions of this article, and their bases to determine whether any adjustments in the fee formulae are warranted. (Ord. 89-O-2076, eff. 11-16-1989)

This article shall not limit or restrict the city's police power to require the adoption and implementation of transportation programs by developers and other persons using real property within the city. (Ord. 89-O-2076, eff. 11-16-1989)