Chapter 25.44 — COMMERCIAL LINKAGE FEES

The purpose of this chapter is to:

A. Encourage the development and availability of housing affordable to a broad range of
households with varying income levels within the City as mandated by State law,
California Government Code Section 65580, and following.

B. Offset the demand for affordable housing that is created by new development and mitigate
environmental and other impacts that accompany new commercial development by
protecting the economic diversity of the City's housing stock; reducing traffic, transit and
related air quality impacts; promoting jobs/housing balance; and reducing the demands
placed on transportation infrastructure in the region.

C. Promote the City's policy to provide an adequate number of affordable housing units to the
City's housing stock in proportion to the existing or projected need in the community, as
identified by the Housing Element.

D. Support the Housing Element goal of providing housing opportunities for those who work
in Burlingame.

E. Support the Housing Element goal of achieving increased affordability of housing.

F. Support the Housing Element policy of developing of a variety of housing types that are
affordable to very low-income and extremely low-income households.

G. Support the Housing Element goal of preserving residential character by encouraging
maintenance, improvement and rehabilitation of the City's neighborhoods and housing
stock.
(Ord. 2000 § 2, (2021))

As used in this chapter, the following terms shall have the following meanings:

"Administrator" means the Community Development Director of the City or other person designated by the City Manager.

"Builder" means any person, firm, partnership, association, joint venture, corporation, or any entity or combination of entities which seeks City approvals for all or part of a commercial development project.

"Building permit" includes full structural building permits as well as partial permits such as foundation-only permits.

"Commercial" use includes hotels, retail uses, restaurants, services, and offices.

"Commercial development project" means an application for a planning permit or building permit that includes the new construction of gross square feet of commercial space or the conversion of a residential use to a commercial use.

"Commercial linkage fee" means the fee paid by builders of commercial development projects to mitigate the impacts that such developments have on the demand for affordable housing in the City.

"First approval" means the first discretionary approval to occur with respect to commercial development projects, or, for commercial development projects not requiring a discretionary approval, the issuance of a building permit.

"Planning permit" means any discretionary approval of a commercial project, including, but not limited to, a comprehensive or specific plan adoption or amendment, rezoning, tentative map, parcel map, conditional use permit, variances, or architectural review. (Ord. 2000 § 2, (2021))

A. Initial fees shall be imposed on new commercial development projects as set forth in the City's Master Fee Schedule, as it may be updated time to time. Fees shall be based on the calculation of gross square feet of floor area, excluding enclosed parking areas, and shall include a credit for existing uses. Commercial linkage fees shall not exceed the cost of mitigating the impact of the commercial development projects on the need for affordable housing in the City.

B. For the purposes of this chapter, commercial use includes hotels, retail uses, restaurants,
services, and offices.
(Ord. 2000 § 2, (2021))

Any commercial linkage fee shall be paid in full prior to the issuance of the first building permit for the commercial development project subject to the fee or at a time otherwise specified by Council resolution. If no building permit is required, the fee shall be paid before a conversion of use may take place. The fee shall be calculated based on the fee schedule in effect at the time the building permit is issued. (Ord. 2000 § 2, (2021))

A. The following commercial development projects are exempt from the provisions of this chapter:

1. Projects adding less than 5,000 square feet of net new square footage.

2. City buildings and facilities and those public facilities entitled to an exemption under
law.

3. Projects that have established a vested right not to be subject to this chapter.

4. Applications under review by the Planning Commission that had been deemed
complete at the time of adoption of the commercial linkage fees provided for in this
chapter.

B. The Council may elect to waive payment of the commercial linkage fee if it finds that: (1)
the commercial development project is dedicated to a public use owned and operated by
other public agencies or a nonprofit public benefit corporation; and (2) the benefits to the community provided by such public use exceed those that would be provided by the
payment of the commercial linkage fee. If the Council elects to waive commercial linkage
fees pursuant to this provision, the public use of the site shall be guaranteed by a recorded
document in a form acceptable to the City Attorney.

C. The Council by resolution may adopt additional exemptions from time to time.
(Ord. 2000 § 2, (2021))

A. Special Revenue Fund. A fund for the deposit of fees established under this chapter shall be established and may also receive moneys for housing from other sources.

B. Purpose and Limitations. Moneys deposited in the fund shall be used to increase and
improve the supply of housing affordable to moderate-, low-, very low-, and extremely
low-income households. Such purpose includes the purchase of affordability covenants or
similar initiatives whose purpose is to preserve existing affordable housing that may
otherwise be lost due to market conditions. Moneys may also be used to cover reasonable
administrative or related expenses associated with the administration of this chapter.

C. Administration. The fund shall be administered by the Administrator, who may develop
procedures to implement the purposes of the fund consistent with the requirements of this
chapter and subject to any adopted budget of the City and generally applicable accounting
and procurement processes.

D. Expenditures. Fund moneys shall be used in accordance with the City's Housing Element
or subsequent plans adopted by the City Council to maintain or increase the quantity,
quality, and variety of affordable housing units or assist other governmental entities, private
organizations or individuals to do so. Permissible uses include, but are not limited to, land
acquisition, debt service, parcel assemblage, gap financing, housing rehabilitation, grants,
unit acquisition, new construction, and other pursuits associated with providing affordable
housing. The fund may be used for the benefit of both rental and owner-occupied housing.
(Ord. 2000 § 2, (2021))

A. The builder of a project subject to this chapter may request that the requirements of this chapter be waived or modified by the City Council, based upon the absence of any reasonable relationship or nexus between the impacts of the development and either the amount of the fee charged or the type of facilities to be financed.

B. The application shall be made in writing and filed with the Director not later than:

1. Twenty days prior to the public hearing before the Planning Commission on the
development project application under this title, or

2. If no hearing before the Planning Commission is required by this title, at the time of
the filing of the application for a development permit.

C. The application shall state in detail the factual basis for the claim of waiver, reduction, or
adjustment.

D. The Council shall consider the application at a public hearing held within 60 days after the filing of the fee adjustment application. If a reduction, adjustment, or waiver is granted,
any change in use within the development project shall invalidate the waiver, adjustment,
or reduction of the fee. The decision of the City Council is final.
(Ord. 2000 § 2, (2021))

A. Payment of the commercial linkage fee is the obligation of the builder of a commercial development project. The City may institute any appropriate legal actions or proceedings necessary to ensure compliance herewith, including, but not limited to, actions to revoke, deny, or suspend any permit or development approval.

B. The City Attorney shall be authorized to enforce the provisions of this chapter and all
below market rate housing agreements, regulatory agreements, and all other covenants or
restrictions placed on affordable units, by civil action and any other proceeding or method
permitted by law.

C. Failure of any official or agency to fulfill the requirements of this chapter shall not excuse
any builder or owner from the requirements of this chapter. No permit, license, map, or
other approval or entitlement for a commercial development project shall be issued,
including, without limitation, a final inspection or certificate of occupancy, until all
applicable requirements of this chapter have been satisfied.
(Ord. 2000 § 2, (2021))

The remedies provided for in this chapter shall be cumulative and not exclusive and shall not preclude the City from any other remedy or relief to which it otherwise would be entitled under law or equity. (Ord. 2000 § 2, (2021))