Chapter 16.59 — CITYWIDE TRANSPORTATION IMPACT FEE

This chapter may be referred to as the "Citywide Transportation Impact Fee Ordinance."

(Ord. 4958 § 2 (part), 2007)

For the purposes of this chapter, the following definitions shall apply:

(a) “Affordable unit” shall have the meaning provided in Section16.65.020 of this title.

(b) “Citywide transportation enhancements” shall mean public facilities that relieve citywide traffic congestion caused by new development projects. Citywide transportation enhancements include, but are not limited to, bicycle and pedestrian improvements, and roadway and intersection improvements. Citywide transportation enhancements do not include (i) intersection improvements designed primarily to accommodate increased traffic generated by a specific development or (ii) the addition of through-traffic lanes designed for primary use by private motorized vehicles.

(c) “Construction cost index” shall mean the construction cost index for the San Francisco Bay Area set forth in the Engineering News Record published by McGraw Hill and Associates. In the event the Engineering News Record ceases to calculate and publish this index, then the city manager may designate a comparable, alternative index to serve as the construction cost index.

(d) “Eligible citywide transportation enhancements” shall mean (i) the citywide transportation enhancements identified in the most recent citywide transportation impact fee nexus study approved by the city council, and (ii) other citywide transportation enhancements that are approved by the city council that may be substituted for an identified improvement or service because they will mitigate similar congestion.

(e) “Existing development” shall mean structures present (at the time the amount of the fee is calculated) and in use (within the two years prior to the time the amount of the fee is calculated) on parcels upon which new development is planned to occur. Where it is necessary to project PM peak hour vehicle trips generated by existing development, such projection shall be made based on either (i) the trip generation estimates used to determine the fee owed with respect to such existing development when the fee was last paid with respect to such existing development or (ii) if the

fee has not been paid with respect to such existing development (or any portion thereof), the most recent use of the existing development.

(f) “Fee” shall mean the citywide transportation impact fee imposed pursuant to this chapter.

(g) Any reference in this chapter to the “Government Code” or to a section of the “Government Code” shall refer to the California Government Code as it exists at the time this chapter is applied and shall include amendments to the Government Code made subsequently to the adoption of this chapter, it being the intent of the city to maintain the fee in compliance with applicable law.

(h) “New development” shall mean the construction of new structures or additions to existing structures in the city and, with respect to residential development, any development project that creates additional residential units. “New development” shall not mean replacement or expansion of an existing residential unit. With respect to nonresidential development, “new development” shall also mean any development project that creates additional gross floor area, or involves a change in use that requires a use and occupancy permit.

(i) “Transportation Impact Analysis Guidelines” shall mean the most recent edition of the “Transportation Impact Analysis Guidelines” promulgated by the Valley Transportation Authority or such other trip projection methodology adopted by the city for the purpose of traffic impact analysis reports.

(Ord. 5463 § 2 (part), 2019: Ord. 4958 § 2 (part), 2007)

The fee is hereby imposed as a condition of the issuance of any permit for any new development, unless expressly exempted by this chapter.

(Ord. 4958 § 2 (part), 2007)

The provisions of this chapter shall not apply to:

(a) City buildings or structures.

(b) Public school buildings or structures.

(c) Affordable units, either for sale or rental, that exceed the minimum number required for projects under the city's below market rate (BMR) housing program or other provisions of this code, which units are, by recordable means, obligated to be and remain affordable units for a period consistent with the requirements of Section 16.65.075(c) of this code.

(d) Day care centers used for childcare, nursery school or preschool education.

(e) Accessory dwelling units (ADU).

(f) Junior accessory dwelling units (JADU).

(g) New development which is exempt from the fee by virtue of the Constitution of the United States or California or by virtue of other applicable state or federal law.

(Ord. 5463 § 2 (part), 2019: Ord. 5456 § 3, 2018: Ord. 4958 § 2 (part), 2007)

The fee shall apply to development projects that are in the approval process at the effective date of this section, except as modified herein. A project that has its final planning permit before the effective date of this section and was exempt from the fee at the time of that permit's issuance shall not be subject to the fee.

(Ord. 5463 § 2 (part), 2019)

(a) The fee shall be paid as set forth in Chapter 16.64 of this code.

(b) A credit against the fee may be given for dedications of eligible citywide transportation enhancements constructed or provided at private expense and for the value of land dedicated to the city that is necessary or useful to an eligible citywide transportation enhancement. Such credit will be granted only if the city council determines that: (i) the city will experience a substantial cost savings or service quality improvement as a result of private construction or provision of the enhancement or the dedication of land, (ii) the enhancement can be expected to immediately and significantly relieve citywide traffic congestion, and (iii) the grant of the credit will not cause the city to delay the implementation of elements of the city’s transportation plan that are of higher priority, in the judgment of the city council, than the land or enhancement that will be dedicated. The credit shall be applied at the time the city accepts the land or enhancement. Where the city council has made the determinations required by this subdivision, payment of a portion of the fee equal to the amount of an expected credit against the fee may be deferred to the date of final building inspection approval of the development, provided the owner of the real property for which the fees are required enters into a recordable agreement with the city prior to issuance of the building permit for the development, which from the date of recordation, shall constitute a lien on the property and shall be enforceable against successors in interest to the property owner. The agreement shall provide that final occupancy approval shall not be given until the credit is applied and any remaining fees are paid. The agreement shall also provide that, in any action to collect the fees or any portion thereof, the city shall be entitled to all of its costs of enforcement and collection, including reasonable attorney’s fees. The director of planning and development services may execute the agreement on behalf of the city in a form acceptable to the city attorney. Any deferral granted pursuant to this paragraph (b) shall be consistent with the requirements of Government Code Section 66007. In no event shall a credit exceed the amount of the fee, and the city shall have no obligation to make payment to or otherwise compensate a developer or applicant if the value of the dedication exceeds the fee amount.

(Ord. 5494 § 3, 2020: Ord. 5463 § 2 (part), 2019: Ord. 5400 § 10, 2016: Ord. 4958 § 2 (part), 2007)

(a) The fee imposed upon a new development shall be calculated by multiplying (i) the number of net new PM peak hour vehicle trips projected to be generated by a new development by (ii) the current fee rate.

(b) The number of net new PM peak hour vehicle trips projected to be generated by a new development shall be calculated by subtracting the projected PM peak hour vehicle trips generated by existing development on the parcel(s) to contain the new development from the projected PM

peak hour vehicle trips generated by the new development (including any existing structures to remain on the parcel after the construction of the new development). In no event shall a new development be projected to generate less than zero new PM peak hour vehicle trips as a result of this calculation.

(c) For purposes of subdivision (b), the number of PM peak hour vehicle trips projected to be generated by a new development shall be calculated pursuant to the transportation impact analysis guidelines. For development projects required to prepare, receive approval of, implement and monitor a transportation demand management (TDM) plan consistent with Comprehensive Plan Program T1.2.2, a target-based trip reduction approach allowed under the transportation impact analysis guidelines may be used, provided that the TDM plan is subject to an enforceable agreement approved by the city.

(d) To the extent existing development on a parcel qualifies as new development after the effective date of the most recent ordinance amending this section, but was exempt from the fee by virtue of Section 16.59.040 of this code in effect at the time the existing development was permitted, the PM peak hour vehicle trips projected to be generated by that existing development, shall not be subtracted (as otherwise required by subdivision (b) of this section) from the projected PM peak hour vehicle trips generated by the new development.

(e) The rate of the fee shall be established from time to time by resolution or ordinance of the city council in the manner required by Government Code Sections 66004 and 66018.

(f) The rate of the fee shall be subject to annual adjustment for inflation pursuant to Section16.64.110.

(g) The department of planning and development services shall be responsible for the calculation of the fee when the fee is due. Applicants shall supply the city with the necessary information to calculate the fee in a format acceptable to the city.

(h) The number of net new PM peak hour vehicle trips projected to be generated by a new development shall be calculated in a manner that accounts for peak hour vehicle trips expected to be reduced by any Transportation Demand Management (TDM) Plan approved or required by the city.

(i) New retail service developments, as defined in Section 18.04.030(a)(125) of this code, shall be charged a fee at 50% of the ordinary rate set under subdivision (e) of this section.

(Ord. 5494 § 3, 2020: Ord. 5463 § 2 (part), 2019: Ord. 5400 § 11, 2016: Ord. 4958 § 2 (part), 2007)

(a) There is hereby established a special fund, entitled the "Citywide Transportation Impact Mitigation Fund", into which all fee proceeds and any interest thereon shall be deposited. The fund shall be maintained as required by Government Code Section 66006.

(b) Moneys in the fund shall be expended only on the installation, acquisition, and construction of eligible citywide transportation enhancements.

(Ord. 5463 § 2 (part), 2019: Ord. 4958 § 2 (part), 2007)

(a) At least annually and as required by Government Code Section 66006, the city manager, or his or her designee, shall review the estimated cost of the public improvements to be funded by the fee, the continued need for those improvements and the reasonable relationship between such need and the impacts of pending or anticipated new developments. The city manager, or his or her designee shall report his or her findings to the city council at a noticed public hearing and recommend any adjustment to the fee or other action as may be needed.

(b) The city council shall review such report in the manner required by Government Code Section 66006(b)(2).

(c) To the extent required by Government Code Section 66001(d), the city council shall make the findings required by that section.

(Ord. 4958 § 2 (part), 2007)

(a) Any person violating or failing to comply with any of the requirements of this chapter shall be subject to an administrative penalty or administrative compliance order as set forth in Chapters 1.12 and 1.16 of this code.

(b) The city attorney shall be authorized to enforce the provisions of this chapter and all agreements entered into in accordance with this chapter, by civil action and any other proceeding or method permitted by law.

(c) Each person is guilty of a separate offense for each and every day during any portion of which any violation of any provision of this chapter is committed, continued or permitted by such person.

(d) All remedies provided for in this section 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.

(e) Failure of any official to fulfill the requirements of this chapter shall not excuse any person from the requirements of this chapter.

(Ord. 5463 § 2 (part), 2019: Ord. 5400 § 12, 2016: Ord. 4958 § 2 (part), 2007)