Gilroy Municipal Code Art. VI Traffic Impact Fee

The purpose of the citywide traffic impact fee established in this article is to finance street and highway improvements identified as necessary to achieve the guiding policies set by the Gilroy General Plan regrading the transportation of people and goods within the general plan planning area, as the general plan and planning area may be amended from time to time, by requiring development projects within the City of Gilroy to contribute to a fund that will finance these improvements, thereby reducing the adverse citywide traffic impacts the development projects cause.

(Ord. No. 92-19, § II, 11-16-1992)

For the purposes of this article, “development project” shall include:

(1) Any new residential, commercial, industrial or other nonresidential buildings;

(2) Any additions or alterations to existing residential improvements that create one (1) or more additional dwelling units; and

(3) Any additions or alterations to existing nonresidential improvements that increase the gross square footage of the improvement, in which case:

a. The citywide traffic impact fee shall apply only to the increase in gross square footage if the proposed use is in the same fee rate category as the existing use; or

b. The citywide traffic impact fee shall apply to the entire gross square footage of the improvement if the proposed use is in a higher fee rate category than the existing use, except that credit shall be applied in an amount based on the existing gross square footage in the existing fee rate category.

“Development project”

shall not include governmental entity buildings utilized solely for governmental purposes by that entity and which otherwise are legally exempt from such city-imposed fees.

“Development project”

shall not include a building added to existing private school facilities for use by that school’s population only, that the city determines will not create a traffic impact, provided that the school enters into an agreement with the city which includes restrictions to preclude changes in use that could increase the school’s population or generate traffic impacts.

(Ord. No. 92-19, § II, 11-16-1992; Ord. No. 2006-04, § I, 2-27-2006)

Approval of any development project by the city shall be conditioned upon the payment of a city-wide traffic impact fee in an amount as fixed from time to time by resolution of the city council. The fee will be calculated upon the number of dwelling units for residential developments projects, and upon gross square footage for nonresidential development projects, except as otherwise provided in section 21.124(c). The council resolution shall establish categories of development projects and fix a fee rate for each category. When a development project does not clearly fall under one of the established fee rate categories, the planning director shall have discretion and final authority to assign it to an established category.

(Ord. No. 92-19, § II, 11-16-1992)

The time of payment of the traffic impact fee is as follows:

(1) For residential projects: at the earliest time authorized by California Government Code section 66007 as it may be amended from time to time, and at the public works director’s, or the public works director designee’s, discretion.

(2) For nonresidential projects: at the time specified by an agreement with the city; or, prior to issuance of a building permit; or, prior to issuance of a certificate of occupancy; or, pursuant to a payment agreement with the city pursuant to its payment plan policy, which was adopted October 2, 2017. The city council may from time to time amend the payment plan policy.

(3) Notwithstanding any other provision of law, “time of payment” as set forth in this section shall apply to the payment of sewer development impacts fees, storm development impact fees and water development impact fees. The city council may, by resolution, adjust the amounts of these fees from time to time, based on new data.

(Ord. No. 92-19, § II, 11-16-1992; Ord. No. 2017-05, § I, 10-16-2017)

The traffic impact fee is the minimum contribution toward the mitigation of traffic impacts to be required of a development project. If because of special conditions caused by a development project, the development project is required to construct any improvement or portion thereof which was to be finance by the city-wide traffic impact fee, the development project shall receive a credit against its fee. The credit shall be equal to the construction cost of the improvement identified in Exhibit A to Resolution No. 92-78 as it may be amended from time to time, or if only a portion of the improvement is constructed, equal to the prorated portion of said construction cost. In no event, however, shall the credit exceed the traffic impact fee the development project would otherwise pay.

Note: Exhibit A has not been set out herein but is available in the office of the city clerk.

(Ord. No. 92-19, § II, 11-16-1992)

(a) All fees collected pursuant to the provisions of this article and any earnings thereon, shall be placed in a separate citywide traffic impact fee fund in a manner to avoid any commingling of the fees with other revenues and funds, except for temporary investments or as may otherwise be permitted by law.

(b) All fees collected pursuant to the provisions of this article, and any earnings thereon, shall be expended solely for the construction of street and highway improvements identified as necessary to achieve the guiding policies set by the general plan regarding the transportation of people and goods within the general plan planning area.

(Ord. No. 92-19, § II, 11-16-1992)

(a) In cases where the city advances the costs for rights-of-way acquisition or for construction of improvements for a portion of a street which is part of the city’s circulation element of the general plan, and for which an owner or developer is responsible to acquire or dedicate rights-of-way and/or construct improvements, owners or developers of land which abuts upon such portion of such street shall repay such advanced costs to city, to be redeposited in the traffic impact fee fund, when and if such land is sought to be developed and a development permit is issued or approved therefor. The repayment shall be made prior to and as a prerequisite for approval of a final or parcel map on the property, even if repayment was for any reason not imposed as a condition of the tentative map. If no such approval is being sought, the repayment shall be made prior to and as prerequisite to issuance of a building permit for the property.

(b) For purposes of this section, the costs of rights-of-way or improvements shall mean the sum total of the costs incurred or expended by the city in the form of purchase price or eminent domain judgment for the acquisition of rights-of-way. Said costs shall also include engineering costs for preparation of plat maps and boundary descriptions necessary for such acquisitions. Such costs shall also mean the sum total of all costs incurred or expended by city for the construction of street improvements, including but not limited to engineering costs and expenses, costs and expenses of preparing plans and specifications, costs and expenses for inspection, publication, advertising and printing, costs of construction contract, costs of extra work and materials approved by city, and costs of preparation of environmental review documents for the required improvements.

(c) Improvements may include but shall not be limited to paving (including all preparation, removal, excavation, fill base material compaction), curbs, gutters, sidewalks, street lights (including cables and electrical conduit), median islands and any and all appurtenances to the foregoing improvements.

(Ord. No. 96-6, 5-20-1996)

§ 21.131. through § 21.149. (Reserved)