National City Municipal Code Ch. 4.52 Transportation Development Impact Fee

This chapter shall be known as the transportation development impact fee (TDIF) ordinance and may be cited as such.

(Ord. 2310 § 1 (part), 2008)

This chapter is enacted pursuant to the Mitigation Fee Act, California Government Code Section 66000 et seq.

(Ord. 2310 § 1 (part), 2008)

The purpose of this chapter is to make provision for assessing and collecting fees as a condition of approval of a subdivision map or prior to issuance of a development permit, including a building permit, to defray the actual or estimated costs of constructing planned transportation facilities necessary to accommodate increased traffic generated by future development consistent with Sections 66000 et seq., of the California Government Code (Mitigation Fee Act). Application of this fee will include, but is not limited to, development for residential, commercial and industrial land uses.

This TDIF does not replace normal subdivision map exactions or other measures required to mitigate site specific impacts of a development project including, but not limited to, mitigation imposed pursuant to the California Environmental Quality Act and imposed as conditions of approval upon a development project as part of the development review process; regulatory and processing fees; fees required pursuant to a development agreement; funds collected pursuant to a reimbursement agreement that exceed the developer's share of public improvement costs; or assessment district proceedings, benefit assessments, or taxes.

The fees collected pursuant to this chapter are to fund identified transportation facilities, or portions thereof, that will provide increased road capacity necessitated by the cumulative impacts of future development. The transportation facilities for which these fees are collected are identified as "TDIF Facilities" in the adopted transportation impact fee program report. Further studies, including environmental review, may show superior alternative facilities that also provide the needed increased capacity. Once such studies are completed, fees collected under this division may be used to fund those superior alternative facilities.

(Ord. 2310 § 1 (part), 2008)

The city council of the city of National City, consistent with California Government Code Sections 66000 et seq., of the Mitigation Fee Act, finds that:

A. The further development of property within the city, as detailed in the transportation impact fee program report, will require the construction of additional transportation facilities. In addition, San Diego Association of Governments (SANDAG) policy as expressed through the TransNet extension ordinance and expenditure plan is that new development shall contribute towards the regional arterial system through the regional transportation congestion improvement program (RTCIP). The RTCIP has an impact fee component to achieve its goals. Included in the regional arterial system are certain roadways in the city of National City, which are also part of the city's transportation impact fee program. The TDIF advances a legitimate public interest by enabling both SANDAG and the city of National City to fund improvements to transportation infrastructure required to accommodate new development.

B. The fees established herein are based upon estimated costs of identified transportation facilities, or portions thereof, the costs of which have been based on relative vehicular volumes attributable to future development. The TDIF will fund expanded facilities identified in the transportation impact fee program report, and would also include those facilities identified in the RTCIP located within the city of National City, all to serve new development.

Costs for planned transportation facilities are identified in the transportation impact fee program report. Costs funded by the TDIF may include project administration and management, design and engineering, right-of-way acquisition, and construction. More detailed descriptions of planned facilities, including their location, to the extent known, are shown in the transportation impact fee program report and other documents, such as the city's general plan. The list of planned improvements contained in the transportation impact fee program report may change to meet changing circumstances and needs, as the city of National City deems necessary. The TDIF will not be used to correct existing deficiencies in the roadway system.

C. There is a reasonable relationship between construction of identified transportation facilities, or portions thereof, and the additional vehicular trips attributable to future development. The city of National City will restrict TDIF revenues to capital projects identified on the transportation impact fee program report to serve new development. In that report, certain improvements are also part of the regional arterial system identified in the SANDAG RTCIP. Improvements funded by the TDIF will expand certain arterials within the city of National City, making them accessible to the additional residents and workers associated with new development. The projects identified in the transportation impact fee program report will expand the capacity of the portions of the regional arterial system located within the city of National City to accommodate the increased trips generated by new development. Thus, there is a reasonable relationship between the use of fee revenues and the residential and nonresidential types of new development that will pay the TDIF.

D. There is a reasonable relationship between the need for identified transportation facilities, or portions thereof, and the future development. New dwelling units and building square footage are indicators of the demand for transportation improvements needed to accommodate growth. As additional dwelling units and building square footage are created, the occupants of these structures generate additional vehicle trips and place additional burdens on the transportation system.

The need for the TDIF is based on the SANDAG transportation model projections of growth that show an increase in vehicle hours of delay on the regional arterial system primarily as a result of new development even with planned improvements to that system. The model estimated impacts from new development based on trip generation rates that varied by land use category, providing a reasonable relationship between the type of development and the need for improvements.

E. There is a reasonable relationship between the amount of the fee and the cost of transportation facilities, or portions thereof, attributable to future development. This reasonable relationship between the TDIF for a specific development project and the cost of the facilities attributable to that project is based on the estimated vehicle trips the project will add to the regional arterial system. The total fee for a specific residential development is based on the number and type of new dwelling units multiplied by the trip generation rate for the applicable residential land use category. The fee for a specific nonresidential development is based in a similar manner on the amount of building square footage by land use category. Larger projects generate more vehicle trips and pay a higher fee than smaller projects of the same land use category. Thus, the fee ensures a reasonable relationship between the TDIF for a specific development project and the cost of the improvements attributable to the project.

F. The imposition of TDIF on all new development associated with the generation of new traffic within the city of National City is necessary in order to protect the public health, safety and welfare and in order to assure effective implementation of National City's general plan.

(Ord. 2310 § 1 (part), 2008)

The definitions set forth in this section shall govern the application and interpretation of this chapter:

"Applicant" means developer or person seeking a development permit.

"Building permit" means a permit required and issued by the City of National City.

"City" means the City of National City.

"City of National City transportation impact fee program" is the fee study entitled "City of National City Transportation Impact Fee Program," dated March 2008, approved and adopted by the city council on April 1, 2008. The City of National City transportation impact fee program is maintained for public review in the engineering department of the City of National City.

"Construction" means design, performance of estimates, environmental assessments and studies, determination of fees, acquisition of right-of-way, administration of construction contracts, and actual construction.

"Developer" means the owner or developer of a development seeking a development permit.

"Development permit" means any permit or approval from the City of National City including, but not limited to, a general plan amendment, zoning or rezoning of property, a conditional use permit, a design permit, a coastal development permit, a variance permit, a planned development permit, subdivision map, parcel map, building permit, or any another permit for construction, reconstruction, or development.

"Development project" or "development" means any activity described in Section 66000 et seq., of the California Government Code.

"Industrial" means any use of land specified as an industrial use in Title 18 of this Code.

"Institutional units" mean a nursing home, home for the aged, assisted living facility, or similar institutional units.

"Multifamily" means any use of land specified as a multifamily use in Title 18 of this Code.

"New development" means any development requiring a development permit.

"Residential" means any use of land specified as a residential use in Title 18 of this Code.

"Single-family" means any use of land specified as a residential use in Title 18 of this Code.

"TDIF" means transportation development impact fee.

"TDIF facilities" means the transportation facilities, or portions thereof, identified in the City of National City Transportation Impact Fee Program, or future city approved alternatives that substantially fulfill the transportation needs identified and represented by a listed facility.

"TDIF reports" means the City of National City Transportation Impact Fee Program report dated March 2008, and approved and adopted by the city council on April 1, 2008. This report shall be changed or periodically updated by action of the city council pursuant to Section 4.52.100 of this chapter. The current adopted reports are on file with the city clerk of the City of National City.

"Transportation facility project" means that project or portion of project, which involves the specified improvements in the City of National City Transportation Impact Fee Program.

(Ord. 2310 § 1 (part), 2008)

(Ord. No. 2010-2340, 5-18-2010)

This chapter establishes the requirements for the TDIF for all new development within the city of National City. This chapter shall apply to all new development except as exempted by state or federal law, or as specifically exempted in this chapter. In cases where a development is specifically exempt by law from this chapter, but that development has cumulative transportation impacts required to be mitigated by the California Environmental Quality Act (CEQA), the city can accept TDIF payment to mitigate cumulative impacts.

The TDIF is limited to providing funding in the amounts and for those improvements specified in the city of National City transportation impact fee program. Nothing in this chapter shall restrict the ability of the city to require dedication of land, payment of fees or construction of improvements for needs other than, or in addition to, the improvements specified in the city of National City transportation impact fee program.

The requirement of this chapter shall apply to projects for which building permits are issued on or after July 1, 2008.

(Ord. 2310 § 1 (part), 2008)

A. Commencing July 1, 2008, prior to the issuance of any building permit for residential development in the city of National City, a transportation development impact fee shall be paid in the following amount based upon the use of land:

B. The fee shall be paid before the issuance of building permits for each development project within the city of National City. No building permit shall be issued within the city of National City unless and until the TDIF has been paid in full. In the case of discretionary permits that will not involve a building permit, but which will involve new development, payment of the fee shall be recommended as a condition of permitting to the decision-making body that would approve such permit.

(Ord. 2310 § 1 (part), 2008)

A. Commencing July 1, 2008, prior to the issuance of any building permit for commercial, office/service, or industrial development in the city of National City, a transportation development impact fee shall be paid in the following amount based upon the use of land:

B. The fee shall be paid before the issuance of building permits for each development project within the city of National City. No building permit shall be issued within the city of National City unless and until the TDIF has been paid in full. In the case of discretionary permits that will not involve a building permit, but which will involve new development, payment of the fee shall be recommended as a condition of permitting to the decision-making body that would approve such permit.

(Ord. 2310 § 1 (part), 2008)

The imposition of the TDIF upon nonresidential development, as set forth in Section 4.52.080, shall be suspended from being imposed until one of the following occurs:

A. SANDAG requires the city to collect a transportation development impact fee from nonresidential development, the city thereafter holds a public hearing to consider whether to release the suspension, and the city determines to release the suspension; or

B. The city council determines, after a public hearing, that the suspension should be released based upon the public health, safety, and welfare of the city of National City; or

C. The passage of at least two years from the date of the adoption of this chapter, a public hearing is held before the city council to consider whether the continuance of the suspension of the fee upon nonresidential should remain in place, and the city council determines the suspension should be released.

(Ord. 2310 § 1 (part), 2008)

The TDIF shall be adjusted annually starting July 1, 2009, and on each July 1st thereafter, based on the following factors:

A. The cost index used by SANDAG for the annual adjustment to the RTCIP impact fee.

B. Changes in the type, size, location or cost of the transportation facilities, if any, to be financed by the TDIF, changes in land use designations in the city's general plan, and upon other sound engineering, financing, and planning information.

C. Adjustments to the TDIF resulting from review of the factors above may be made by resolution amending the fee schedule and subject to compliance with the Mitigation Fee Act.

(Ord. 2310 § 1 (part), 2008)

The revenue raised by payment of the TDIF shall be placed in a separate and special account or fund in a manner to avoid any commingling with other revenues and funds of the city of National City; and, such revenues, along with any interest earnings on the account or fund, shall be used solely to:

A. Pay for the city's future construction of facilities described in the city of National City transportation impact fee program, or to reimburse the city for those described or listed facilities constructed by the city with funds advanced by the city from other resources; or

B. Reimburse developers who have been required or permitted by Section 4.52.130 to install such listed facilities which are oversized with supplemental size, length, or capacity, relative to demand generated by the subject project; or

C. Pay costs required for the administration of this chapter, including, but not limited to costs incurred in conducting hearings required by state law.

The TDIF fund, including accrued interest, shall be subject to the all of the applicable provisions of Government Code Section 66000 et seq., including but not limited to the requirements for accounting, reporting and expenditure of the fund for the improvements specified in the city of National City transportation impact fee program.

(Ord. 2310 § 1 (part), 2008)

A. The transportation facilities and programs to be financed by the fee established by this chapter are identified in the city of National City transportation impact fee program.

B. The city council may modify or amend the city of National City traffic impact fee program in order to maintain compliance with the circulation element of the city's general plan.

(Ord. 2310 § 1 (part), 2008)

Whenever a developer of a development project would be required, as a condition of approval of a development permit, to construct or finance the construction of a portion of a transportation facility identified in the city of National City traffic impact fee program, the city council may impose an additional requirement that the developer install the improvements with supplemental size, length or capacity in order to ensure efficient and timely construction of the transportation facilities network. If such a requirement is imposed, the city council shall, in its discretion, enter into a reimbursement agreement with the developer. The reimbursement agreement can be for either in the form of a cash payment or a credit against the fee otherwise levied by this chapter on the development project, or some combination thereof. The determination of the form is at the sole discretion of the city.

The reimbursement amount shall not include the portion of the improvement needed to provide services or mitigate the need for the facility or the burdens created by the development.

A developer shall not receive cash reimbursement from the appropriate TDIF fund until all developers who have previously executed reimbursement agreements payable from the same fund have been fully reimbursed or until such agreements have expired. The maximum term of any reimbursement agreement shall be twenty-five years.

(Ord. 2310 § 1 (part), 2008)

The following new development shall be exempt for the application of the provisions of this chapter:

A. Public facilities, government buildings, public buildings, public schools.

B. Uses with the following characteristics or activities as a principal use of land, generally described as "community purpose facility:"

1. Social service activities, including such services as Boy Scouts, Girl Scouts, Boys Club and Girls Club, YMCA and services for the homeless;

2. Public schools (elementary and secondary);

3. Private schools (elementary and secondary);

4. Day care (nonprofit only);

5. Senior care and recreation (nonprofit only); and

6. Worship, spiritual growth and development.

C. Condominium conversions.

D. Moderate, low, very low, and extremely low income residential units as defined by Health and Safety Code Sections 50079.5, 50093, 50105, 50106, and by reference in Government Code Section 65585.1.

E. Rehabilitation and/or reconstruction of any legal residential structure and/or the replacement of a previously existing residential unit.

F. Development projects subject to development agreements prior to May 28, 2004 that expressly prohibit the imposition of impact fees, however, if the terms of the development agreement are extended beyond July 1, 2008, then the requirements of this chapter shall apply,

G. Guest dwellings.

H. Additional residential units located on the same parcel regulated by the provisions of any agricultural zoning.

I. Kennels and catteries established in conjunction with an existing residential unit.

J. The sanctuary building of a church, mosque, synagogue, or other house of worship eligible for property tax exemption.

K. Institutional units if the following findings are made and documented prior to the issuance of a final occupancy permit:

1. The individual units will not have both a bathroom and permanent built-in kitchen facilities equipped with a cooking range, refrigerator, and sink; and

2. The principal reason a person will live in the unit is because the person needs medical and/or nursing care; and

3. The developer has agreed that the unit in substance will be used as a health care facility rather than as a residence.

(Ord. 2310 § 1 (part), 2008)

(Ord. No. 2340, 5-18-2010)

A. Temporary uses. A development which is designed and intended as a temporary use (three years or less) and which is conducted in facilities which are, by their nature, short-term interim facilities such as a portable or modular building (including mobile homes, trailers, etc.) may apply to the director of building and safety for a waiver, reduction, or deferral. The director of building and safety shall have the authority to grant such waivers, reductions, or deferrals.

B. Deferrals. A deferral of the payment of the TDIF may be granted on the basis of demonstrated economic hardship on the condition that: (1) the use offers a significant public benefit; (2) the amount deferred bears interest at a fair market rate so as to constitute an approximate value equivalent to a cash payment; and (3) the amount deferred is adequately secured by agreement with the applicant.

C. Fee Adjustments. Notwithstanding any other provision of this chapter, the applicant as defined in this chapter shall, as a part of the development permit process, have the right to present evidence to the director of engineering to demonstrate that the fee calculation and/or amount of fee established by the city council is incorrect or inequitable as applied in such case. The applicant shall have the burden of demonstrating any inaccuracy or inequity by serving on the director of engineering, engineering studies and cost estimates necessary to support the applicant's contentions.

If the applicant is processing an application for which the TDIF fee is a condition of approval, the studies and cost estimates must be served on the director of engineering no later than thirty days prior to approval of the project. The director of engineering shall then make a recommendation regarding fee adjustment to the city hearing body. Upon review of the director of engineering's recommendation, the hearing body shall have the authority to change the amount of fee when it finds the amount so established is incorrect or inequitable in the specific case. The decision of the city's hearing body shall be final, and any additional appeals shall be in accordance with the city subdivision ordinance or zoning ordinance, whichever applies to the application being processed.

If the applicant is seeking a ministerial permit, the appeal, required engineering studies and cost estimates can be served on the director of engineering anytime prior to development permit issuance. The director of engineering shall review the requested fee adjustment and shall have the authority to change the amount of fee when it finds the amount so established is incorrect or inequitable in the specific case. The decision of the director of engineering shall be final.

(Ord. 2310 § 1 (part), 2008)

If a building permit or development permit expires, is cancelled, or is voided and if any fees paid pursuant to this chapter have not been expended and no construction has taken place pursuant to such building permit or development permit, the director of building and safety shall, upon written request, refund the fee and any interest earned on the fee, less any administrative costs, to the applicant of record.

(Ord. 2310 § 1 (part), 2008)

The provisions of this chapter shall not apply to any person, association, corporation or to any property as to whom or which it is beyond the power of the city of National City to impose the fee herein provided. If any sentence, clause, section or part of this chapter, or any fee imposed upon any person or entity is found to be unconstitutional, illegal or invalid, such unconstitutionality, illegality, or invalidity shall affect only such clause, sentence, section or part of this chapter, or person or entity; and shall not affect or impair any of the remaining provisions, sentences, clauses, sections or other parts of this chapter, or its effect on other persons or entities. It is declared to be the intention of the city council that this chapter would have been adopted had such unconstitutional, illegal or invalid sentence, clause, section or part of this chapter not been included herein; or had such person or entity been expressly exempted from the application of this chapter. To this end the provisions of this chapter are severable.

(Ord. 2310 § 1 (part), 2008)

This chapter shall take effect on July 1, 2008.

(Ord. 2310 § 1 (part), 2008)