Chapter 3.40
TRAFFIC IMPACT FEE REQUIREMENTS

Sections:

3.40.010    Findings and intent.

3.40.020    Residential traffic impact fees required.

3.40.030    Nonresidential traffic impact fees required.

3.40.040    Traffic impact fees – Exemptions – Reduction – Deferral.

3.40.050    Appeals.

3.40.060    Use of funds.

3.40.070    Fee amount applicable to pending projects.

3.40.080    Periodic adjustment to fee amount.

3.40.010 Findings and intent.

(A) New residential and nonresidential development in the City of Palmdale (hereinafter “City”) has attracted and will continue to attract employees and residents to the City, and there is a causal connection between such development projects and the increased need for transportation facilities.

(B) Failure to enhance the ability of the City’s transportation system to accommodate increased traffic will make it more difficult for residents, employers, and employees to access residences and places of employment and could cause unacceptable harm to the quality of life in the City.

(C) Sources of City revenue other than traffic impact fees, including tax revenues which will be paid by new residential and nonresidential development, will be needed for many public purposes and therefore will not be sufficient to offset the burdens on transportation facilities created by new residential and nonresidential development.

(D) It is the intent of the City to require every person or organization that develops land to mitigate the impacts of that development on the City’s transportation system. The City will therefore require developers to mitigate traffic impacts caused by their development or to pay a traffic impact fee that will be used to mitigate those impacts by constructing transportation facilities pursuant to the most current transportation facilities plan.

(E) The amount of traffic impact fee collected pursuant to this chapter shall be limited to the cost of traffic impact mitigation attributable to new development. The amount of traffic impact fees collected shall not include the cost of traffic impact mitigation measures made necessary by existing development. (Ord. 1254 § 1, 2005; Ord. 825 § 2, 1989)

3.40.020 Residential traffic impact fees required.

(A) Except as provided in PMC 3.40.040, the required traffic impact fee for a residential building shall be paid, in an amount established by resolution of the City Council, prior to or on the date of the final Building Department inspection of the building, or the date the certificate of occupancy is issued, whichever occurs first. If the residential development contains more than one dwelling, the traffic impact fee may be paid on a lump-sum basis when the first dwelling in the development or development phase receives its final inspection or certificate of occupancy, whichever occurs first.

(B) The Director of Public Works, or his or her designee, shall be responsible for calculating the amount of the traffic impact fee required for each development project based on the applicable land use category and corresponding rate specified in the resolution which adopts the traffic impact fee. In calculating such fee, the Director of Public Works shall utilize the fee rate that is assigned to the land use category that is most applicable to the development project. The Director of Public Works shall have the authority to assign a land use category to a development project or to apply the cost per daily trip rate, whichever most reasonably represents the trip generation potential for the project.

(C) For the purposes of this section, “final building inspection” or “final Building Department inspection” shall mean the physical inspection of the building by the Division of Building and Safety of the City of Palmdale for compliance of the building with all applicable building codes and the issuance by all applicable City, County, regional, state and federal agencies of their respective clearances for occupancy.

(D) For the purposes of this section, “certificate of occupancy” shall mean a document issued by the proper authority allowing the occupancy or use of a building and certifying that the structure, building or development conforms with all the applicable municipal codes, ordinances and conditions of approval. (Ord. 1408 § 11, 2010; Ord. 1254 § 1, 2005; Ord. 1143 § 5, 1999; Ord. 825 § 2, 1989)

3.40.030 Nonresidential traffic impact fees required.

(A) Except as provided in PMC 3.40.040, the required traffic impact fee for a nonresidential development shall be paid, in an amount established by resolution of the City Council, prior to issuance of the certificate of occupancy for that development; provided, however, that if a nonresidential development project is to be constructed and occupied in phases, and a separate certificate of occupancy will be issued for each phase, payment of the traffic impact fee may be made separately prior to the issuance of a certificate of occupancy for each phase of the development.

(B) The Director of Public Works, or his or her designee, shall be responsible for calculating the amount of the traffic impact fee required for each development project based on the applicable land use category and corresponding rate specified in the resolution which adopts the traffic impact fee. In calculating such fee, the Director of Public Works shall utilize the fee rate that is assigned to the land use category that is most applicable to the development project. The Director of Public Works shall have the authority to assign a land use category to a development project or to apply the cost per daily trip rate, whichever most reasonably represents the trip generation potential for the project.

(C) For the purposes of this section, “certificate of occupancy” shall mean a document issued by the proper authority allowing the occupancy or use of a building and certifying that the structure, building or development conforms to all the applicable building codes, the Palmdale Municipal Code, and conditions of approval. (Ord. 1254 § 1, 2005; Ord. 1187 § 2, 2001; Ord. 1143 § 6, 1999; Ord. U-979 § 2, 1992; Ord. 825 § 2, 1989)

3.40.040 Traffic impact fees – Exemptions – Reduction – Deferral.

(A) A developer shall be exempted from the traffic impact fee requirements of PMC 3.40.020 and 3.40.030 if the developer enters into a development agreement with the City pursuant to which traffic impact fees are assessed to the developer, or transportation improvements are implemented by the developer.

(B) The City Manager may grant an exemption from the traffic impact fee required by PMC 3.40.020 and 3.40.030 if the City Manager makes the following findings: (1) that a development will generate extraordinary economic benefit upon the City, and (2) the initial revenue loss to the City, if any, will be recouped over a reasonable period of time through increased revenues to the City. Factors which the City Manager may consider include whether the proposed development will provide job creation, sales tax, property tax, or redevelopment tax-increment revenues to the City and/or the Community Redevelopment Agency of the City of Palmdale either individually or as part of a larger multiparty development plan; if the proposed development will provide a much needed service to the local community or economy, or result in the development of businesses or suppliers ancillary to preexisting businesses in the City; or development at the proposed site has been hampered by such impediments as the burden of liens, including assessment, community facility district or County tax liens.

(C)(1) A developer shall be entitled to a reduction in the amount of the traffic impact fee required by PMC 3.40.020 and 3.40.030 if the developer constructs roadway improvements or traffic signals pursuant to the master traffic level maintenance plan. The traffic impact fee shall be reduced by the amount of engineering and construction costs that would be reasonably incurred by the City in building those same roadway improvements or traffic signals. The amount of such reduction shall be subject to the approval of the City Engineer prior to construction.

(2) If a developer constructs roadway improvements or installs traffic signals pursuant to the master traffic level maintenance plan, and if the City’s engineering and construction costs to install those same improvements or signals would have exceeded the traffic fee assessed to that developer pursuant to PMC 3.40.020 and 3.40.030, then nothing in this section shall prevent the City from entering into a reimbursement agreement with that developer, subject to availability of funds.

(D) Notwithstanding subsection (B) of this section, a developer shall be entitled to a reduction in the amount of the traffic impact fee required by PMC 3.40.020 and 3.40.030 if the development is located in an assessment district that has been formed to construct facilities pursuant to the master traffic level maintenance plan. The traffic impact fee shall be reduced by the amount of the total assessment placed upon the development for engineering and construction costs of roadway improvements or traffic signals. The amount of such reduction shall not exceed the amount of the traffic impact fee required by PMC 3.40.020 and 3.40.030.

(E) The City Manager may grant a reduction in the amount of the traffic impact fee required by PMC 3.40.020 and 3.40.030 if the City Manager determines that a development will contribute extraordinary sales tax revenue to the City and thereby confer extraordinary financial benefit upon the City.

(F) The City Manager may authorize the deferred payment of the nonresidential traffic impact fees required by PMC 3.40.030 if the City Manager determines that a development complies with all requirements for such deferred payment that are set forth in Chapter 3.43 PMC. (Ord. 1276 § 2, 2006; Ord. 1254 § 1, 2005; Ord. 1187 § 2, 2001; Ord. 1013 § 3, 1993; Ord. U-979 § 3, 1992; Ord. 825 § 2, 1989)

3.40.050 Appeals.

(A) A developer subject to the traffic impact fee required by this chapter for a particular project may apply to the Director of Public Works for: (1) a fee adjustment based upon a showing of substantial evidence of a lesser impact upon the traffic level of service, (2) an offset or credit against the assessed fee for transportation improvements constructed in compliance with the transportation facilities plan, or (3) a land use category adjustment based upon a showing of substantial evidence that another land use category is more appropriate for a particular development. The application shall be made in writing and filed with the Director of Public Works not later than the time at which the development is conditionally approved by the City. If a development review is not required for the development, then the application shall be made in writing and filed not later than the time at which the building permit is issued. The application shall state in detail the factual basis for the request for reduction.

(B) Failure to file a timely application for adjustment deprives the Director of Public Works of jurisdiction to consider the application.

(C) The Director shall make a decision on the application for adjustment within 30 calendar days after the application has been filed. Notice of the Director’s decision shall be mailed to the applicant, postage paid.

(D) The decision of the Director of Public Works may be appealed to the Planning Commission by filing an application for appeal with the Director of Public Works. The application must be filed within 15 calendar days after notice of the Director’s decision has been mailed to the applicant; provided, however, that if the 15 days expired on the day that City Hall is not open for business, then the appeal period shall be extended to the next business day.

(E) Failure to file a timely appeal application deprives the Planning Commission of jurisdiction to hear the appeal.

(F) The Planning Commission shall consider the appeal at a public hearing to be held within 60 calendar days after the appeal application has been filed. Notice of the Planning Commission’s decision shall be mailed to the applicant, postage paid.

(G) The decision of the Planning Commission may be appealed to the City Council by filing an application for appeal with the City Clerk. The application must be filed within 15 calendar days after notice of the Commission’s decision has been mailed to the applicant; provided, however, that if the 15 days expires on a date that City Hall is not open for business, then the appeal period shall be extended to the next business day. Failure to file a timely appeal application deprives the City Council of jurisdiction to hear the appeal.

(H) The City Council shall consider the appeal at a public hearing to be held within 60 calendar days after the appeal application is filed. The decision of the City Council shall be final. The decision of the City Council shall be in writing and shall be mailed to the applicant, postage paid.

(I) If a fee exemption, a fee reduction or a land use category adjustment is granted pursuant to this section, any subsequent change or intensification of the use or uses of the property or any expansion of the structures on the property shall invalidate the fee exemption, fee reduction or land use category adjustment, and the applicant shall be subject to the traffic impact fee requirement applicable to the entire development based on the fee in effect at the time of the change or expansion, less any amount previously paid.

(J) If a fee exemption, fee reduction or land use category adjustment is not granted pursuant to this section, then upon the payment of the required fees, the City shall, pursuant to Government Code Section 66020, provide the applicant a written notice of the amount of the fees or a description of the dedications, reservations, or other exactions, and shall also provide notification that the 90-day protest period has begun. (Ord. 1254 § 1, 2005; Ord. U-979 § 4, 1992; Ord. 825 § 2, 1989)

3.40.060 Use of funds.

Pursuant to California Government Code Section 66006, all traffic impact fees paid and collected pursuant to this chapter shall be placed into one or more separate reserve account(s) established for such fee and used solely for the purpose of constructing transportation improvements pursuant to the most current transportation facilities plan; provided, however, that if the Traffic/Transportation Engineer authorizes minor alterations to such plan, then those alterations shall not affect the ability of the City to use traffic impact fees collected pursuant to this chapter for the purpose of constructing transportation improvements in accordance with the most current transportation facilities plan as altered or amended. (Ord. 1254 § 1, 2005; Ord. 825 § 2, 1989)

3.40.070 Fee amount applicable to pending projects.

Except as may otherwise be provided in the resolution which adopts the fee amount, an applicant subject to the payment of traffic impact fees required by PMC 3.40.020 or 3.40.030 must pay the amount of the fee that is in effect when the fee becomes due. The amount of the fee is the amount specified by resolution of the City Council, as amended from time to time. The fee imposed on a development project for which vested rights have been acquired through a vesting tentative subdivision map shall be the fee in effect at the time the rights became vested, plus any adjustment for inflation made between that date and the date the fee becomes due. (Ord. 1254 § 1, 2005)

3.40.080 Periodic adjustment to fee amount.

The amount of the traffic impact fee may be annually adjusted for inflation as specified in the resolution which adopts the fee amount or by the periodic preparation of a new transportation facilities plan and required studies prepared and adopted pursuant to the Mitigation Fee Act. (Ord. 1254 § 1, 2005)