The city council finds that the cumulative impact of all new development under the general plan will result in adverse impacts to traffic circulation. To prevent these undesirable consequences, transportation improvements must be provided at a rate which will accommodate the expected growth in the city. The city council acknowledges that the demand for transportation improvements is shared by existing as well as new development. The proposed transportation development fee (formerly the traffic development fee) apportions the cost of the necessary transportation improvements and reconstruction among the different categories of new and existing users according to the reasonably estimated peak hour trip demand that each group of users places upon transportation improvements.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
For the purposes of this chapter, the following terms shall have the meanings indicated in this section:
"Average trip cost"
means the cost per peak hour trip as determined in accordance with Section 3.26.040(A) of this chapter.
"Circulation element"
means the text and maps in the circulation element of the city's general plan, as amended.
"Developer"
means an individual or entity submitting an application for a building permit or other entitlement for development.
"Development"
means:
1. 
New residential unit, including conversion of existing unit to greater than one unit.
2. 
New commercial, office, and industrial development.
3. 
Additions to existing commercial, office, and industrial development greater than 200 gross square feet.
4. 
Conversion or change in use of an existing structure which individually or cumulatively increases the peak hour trip rate by 10 or more trips.
"Future growth"
means the total amount of potential new development in the city permitted under the general plan. Future growth is expressed in terms of gross square footage for commercial, office, and industrial development, and in terms of the number of dwelling units for residential development.
"Gross floor area"
has the same meaning as set forth in Section 18.08.195 of this code.
"Land use category"
means any of the following specified land uses:
1. 
Residential:
a. 
Single-family detached;
b. 
Single-family attached (no more than two units);
c. 
Multi-family (three or more units);
d. 
Accessory dwelling or junior dwelling unit.
2. 
Office.
3. 
Commercial/retail.
4. 
Industrial/warehouse.
"Net transportation improvement costs"
means costs determined in accordance with Section 3.26.040(A)(1) of this chapter.
"Peak hour trip"
means a one-way vehicle trip measured during the hour of peak traffic volume occurring between 4:00 p.m. and 6:00 p.m.
"Peak hour trip rate"
means the average number of peak hour trips generated by a land use category per unit or per square foot of development, as established by the city's traffic manager in accordance with Section 3.26.040(A) of this chapter.
"Transportation improvements"
means those improvements necessary to complete the major street and interchange improvements and renovations identified in the circulation element, the Pleasanton Development Fee Nexus Study dated September 2018, and capital improvement program (CIP), as may be amended from time to time by the city council, including paving, curbs, gutters, sidewalks, medians, landscaping, drainage facilities, traffic signals, street lighting, rights-of-way, bicycle paths, bridges, grade separation, and other improvements in connection therewith, which are not otherwise provided by, or required of, direct development requirements pursuant to Titles 18, 19, and 20 of this code. Transportation improvements shall also include architectural, administrative, engineering, legal, planning, environmental and other services required in connection with the implementation of this chapter and the construction of the foregoing improvements.
(Ord. 1765 § 2, 1998; Ord. 2161 § 1, 2017; Ord. 2192 § 2, 2019)
Except as otherwise expressly provided in this chapter, this chapter applies to, and the transportation development fee required under this chapter is payable with respect to, each development within the city for which a building permit or other entitlement for development is issued on or after the effective date of the fee as adopted in the master fee schedule (on file in the office of the city clerk).
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
The rate of the transportation development fee shall be calculated in accordance with the procedure set forth in this section and shall be established and adjusted by resolution of the city council and set forth in the master fee schedule (on file in the office of the city clerk) as follows:
A. 
Establishment of the Rate. The city council shall establish the rate of the transportation development fee by dividing the net transportation improvement costs attributable to new growth by the total additional peak hour trips generated by future growth. The city council may review and make adjustments to the net transportation improvement costs and peak hour trips as necessary. The net transportation improvements and total peak hour trips shall be determined as follows:
1. 
Net Transportation Improvement Costs.
a. 
The city council shall determine the transportation improvements which are necessary to implement the circulation element of the general plan and reduce the adverse impacts caused by the increased traffic volume generated by future growth. For purposes of determining the amount of the net transportation improvement costs, the city council shall not include the cost of transportation improvements required directly of development pursuant to Titles 18, 19, and 20 of this code. Such direct development requirements, improvements, and dedications in addition to or in lieu thereof, shall continue to be imposed in accordance with Titles 18, 19 and 20 of this code, as appropriate, in addition to the transportation development fees imposed pursuant to this chapter. In addition, the city council shall take into account the similarly situated transportation improvements provided and funded by the North Pleasanton Improvement District #3 ("NPID-3") in determining the net transportation improvements requiring funding, and the rate of the fee for properties within the NPID-3.
b. 
The city council shall make a reasonable estimate of the total costs necessary to construct, renovate, or provide the transportation improvements.
c. 
The city council shall estimate the current and anticipated funding available to satisfy the costs of constructing and implementing the transportation improvements. In determining the amount of funding available, the city council shall include funding from other governmental entities to the extent the receipt by the city of such funding is reasonable, and city revenues appropriated for construction or implementation or transportation improvements, if any.
d. 
The city council shall attribute the need for the transportation improvements between new development and existing development.
e. 
The city council shall determine the difference, if any, between the estimated costs of the construction and implementation of the transportation improvements and the estimated funding available therefor. The extent to which the cost of such construction and implementation exceeds the funds available, or expected to be available, therefor shall be the "net transportation improvement costs."
2. 
Total Peak Hour Trips.
a. 
The total gross square footage or dwelling unit count, as the case may be, of potential new development within each land use category as projected to occur during the period of build-out under the general plan shall be multiplied by the peak hour rate for each land use category established pursuant to Section 3.26.020 of this chapter.
b. 
The peak hour trips generated by potential new development within each land use category as determined pursuant to subsection (A)(2)(a) of this section shall be added together to determine the total additional peak hour trips created by new development which the city's transportation system must accommodate upon build-out under the general plan.
B. 
Annual Adjustment of the Rate. The transportation development fee rate shall be subject to an annual inflation adjustment on January 1st of each year based upon the Engineering News Record Construction Cost Index for the San Francisco—Bay Area.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
A. 
The amount of the fee shall be determined by the building division prior to issuance of the building permit, based upon the type and number of residential units, or upon the amount of gross square footage for commercial, office/retail, and industrial/warehouse development, and the corresponding rate set forth in the master fee schedule (on file in the office of the city clerk).
1. 
If a developer is not satisfied with the calculation of the fee by the building division, he or she may request that the traffic engineer review the peak hour trips generated and/or community development director review the gross square footage and land use category to determine the fee in accordance with this chapter. The traffic engineer and/or community development director shall calculate the fee within 30 days of the submission of a written request for review, and receipt of all materials necessary to determine the amount of the fee.
2. 
Because the fee for commercial uses has been established based upon an average for several types of commercial uses, the developer may only petition for a review of the commercial transportation development fee to be charged to its development based upon a peak hour trip rate which is substantially different from that established by the city's traffic engineer pursuant to Section 3.26.020 of this chapter. Such application shall include a traffic study contracted for by the city, and paid for by the developer, or such other reports and analyses in lieu thereof as the city traffic engineer determines are sufficient to establish the peak hour trip rate applicable to the development. The developer may also submit additional information which the city traffic engineer shall consider insofar as he or she determines it to be relevant in establishing the peak hour trip rate applicable to the development, including, but not limited to, information contained in the trip generation manual adopted by the Institute of Transportation Engineers. The city traffic engineer, based upon his or her review and consideration of the information provided in the foregoing studies, reports, or analyses, and such other information as he or she may deem relevant, may approve a peak hour trip rate for the development which is different than that set forth in Section 3.26.020 of this chapter.
B. 
For development consisting of an addition, extension, or enlargement of an existing structure, the transportation development fee shall be paid only on any additional dwelling units or additional gross floor area resulting from such addition, extension, or enlargement.
C. 
For development consisting of a conversion or change in use of an existing structure which increases the peak hour trip rate otherwise applicable to such existing structure, the transportation development fee shall equal the fee applicable to the entire new structure minus the fee otherwise applicable to the existing structure.
D. 
The amount of the transportation development fee determined in accordance with subsection A of this section, shall be reduced by the amount of any credits authorized by Section 3.26.070 of this chapter.
E. 
The amount of the fee shall be reviewed at least every four years.
(Ord. 1765 § 2, 1998; Ord. 2000 § 1, 2009; Ord. 2192 § 2, 2019)
A. 
The full amount of the fee shall be paid at the time of issuance of the building permit. For those instances where a developer receives an entitlement for development, but is not required to seek a building permit from the city, the transportation development fee shall be payable within 30 days of final action on the development entitlement.
B. 
If the developer has appealed the determination of the fee, and such appeal is pending at the time he or she applies for a building permit, the developer must pay the transportation development fee to receive a building permit, but may do so under protest. If the developer's appeal is successful, and the fee is subsequently reduced, the developer shall be refunded the difference within 30 days.
C. 
The city shall not accept prepayments of the transportation development fee, unless prepayment is authorized in a development or other agreement.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
When a developer constructs a transportation improvement not otherwise required by Titles 18, 19, and 20 of this code, the developer's transportation development fee shall be reduced as provided in this section.
A. 
Eligibility.
1. 
To be eligible for credit, each of the following must be satisfied:
a. 
The construction for which credit is given must be a transportation improvement which would otherwise be constructed by the city using transportation development fee funds.
b. 
The transportation improvement must appear on the city council approved list of transportation development fee improvements, as said list may be amended from time to time.
c. 
The land on which the work is done must be owned by the city, or offered for dedication to the city through a recorded document.
d. 
The developer shall have improvement plans for the work approved by the city and shall have provided the required security before beginning construction.
e. 
The developer and the city must enter into a written subdivision or other agreement.
2. 
The agreement shall include the amount of the credit which will be given (or for unusual projects, the exact method of calculating the credit), when the credit will be given, and to which lots it will apply.
B. 
Calculation of Credit.
1. 
General.
a. 
The community development director, or designee, ("director") shall calculate the amount of credit to be given based upon the approved improvement plans and using cost estimates (which are based on recent city project bids for similar work). The cost of right-of-way to be purchased shall be based upon an appraisal done by a licensed appraiser at city expense.
b. 
For nonstandard improvements, the credit shall be calculated based on information provided by the developer (such as bids or other documents verifying costs) for the community development director's review and approval.
c. 
The calculation of costs shall be based only on work which is eligible for credit under subsection A of this section. No credit shall be given for the cost of constructing improvements otherwise required by direct development pursuant to Titles 18, 19, and 20 of this code. The amount of credit includes construction costs and the cost of engineering.
2. 
Assessment Districts, Benefit Area and Community Facilities Districts. If development occurs within an assessment district, fee benefit area, community facilities district, or otherwise is subject to an assessment, fee or special tax collected specifically to defray the costs of providing or constructing transportation circulation improvements, the amount of credit is equal to that portion of the estimated construction cost of the transportation circulation improvements included in the assessments, fees or special taxes which will be contributed by the development.
C. 
Reimbursement When Credit Exceeds Fee. When the amount of credit exceeds the amount of the developer's transportation development fee, the developer may be eligible for reimbursement of costs under Section 3.26.080 of this chapter.
D. 
How and When Credit is Given.
1. 
If a developer is eligible for credit, the community development director shall calculate the credit pursuant to subsection B of this section, and determine the number of residential units, or office, commercial/retail, or industrial/warehouse square footage for which developer shall receive a credit. Developer shall draw down this credit as he or she receives building permits. No interest shall accrue on the amount of the credit.
2. 
For a residential subdivision, the lots or units to which the credit will apply shall be precisely identified; and the entitlement to the credit recorded in the office of the county recorder if the developer desires to sell, transfer, or assign the lots prior to obtaining a building permit.
E. 
Appeal. Any determination of the community development director under this section is subject to appeal by the developer to the city council pursuant to Section 3.26.120 of this chapter.
(Ord. 1765 § 2, 1998; Ord. 2000 § 1, 2009; Ord. 2192 § 2, 2019)
A. 
General.
1. 
If the credit for improvements due under Section 3.26.070 of this chapter exceeds the required transportation development fee for development, the developer is eligible for reimbursement from the transportation development fee fund.
2. 
To be eligible for reimbursement, the following must be satisfied:
a. 
The developer is eligible for credit under Section 3.26.070 of this chapter; and
b. 
The credit due exceeds the required transportation development fee.
B. 
Development or Other Agreement. The terms of a written development or other agreement regarding reimbursement for transportation improvements shall supersede the terms of this section.
C. 
Time and Manner of Reimbursement.
1. 
The community development director shall determine the exact amount of reimbursement at the time the improvements are accepted by the city.
2. 
Until repaid, the reimbursement amount shall accrue simple interest commencing upon acceptance of the improvements by the city. Simple interest shall accrue each year on January 1st in an amount equal to the percentage change to the Engineering News Record Construction Cost Index for the San Francisco—Bay Area. Reimbursement payments will be applied first to interest and then to principal.
3. 
The total amount of reimbursement, net of credits, shall be set one time upon acceptance of the transportation improvements. The annual percentage amount of reimbursement shall be set one time, upon acceptance of the transportation improvements, by establishing a percentage equal to: the percentage value of the reimbursement amount compared to the value of all transportation improvements; such set percentage shall then be multiplied by the total of all transportation development fees collected in the preceding year to produce a pro rata payment for each year.
Example: The total transportation improvements to be funded by the transportation development fee in year one cost $50,000,000.00; developer builds an improvement valued at $10,000,000.00 and is entitled to a $5,000,000.00 reimbursement. Developer's reimbursement amount is 10 percent of the cost of all improvements, so developer is entitled to 10 percent of the transportation development fees collected each year, irrespective of whether the value of the total transportation c improvements increases or decreases in subsequent years (e.g., if $5,000,000.00 in transportation fees are collected in year two, the developer is entitled to 10 percent or $500,000.00, and interest accrues on the remaining $4,500,000.00). Developer should receive full reimbursement, with interest, upon build-out, subject to adjustments as provided in subsection (C)(4) of this section.
4. 
In the event that the amount to be reimbursed to developers pursuant to this section, or pursuant to a development or other agreement, exceeds the amount of transportation development fees received by the city in the preceding calendar year, the city council shall take action to apportion the available fee revenue to developers entitled to reimbursement pursuant to this section in a manner which the council determines is reasonable for that calendar year.
5. 
The city council may elect, in its absolute discretion, to provide reimbursement at a faster rate than provided in this section, based upon fees collected and available.
6. 
The reimbursement shall be paid one time each calendar year.
7. 
The right to reimbursement shall not run with the land, but shall be personal to the developer. The developer may assign his or her right to reimbursement to another by filing a written notarized assignment with the city clerk. It is the developer's or assignee's responsibility to keep the city clerk advised of a current address. If the city cannot locate a developer or assignee to send a reimbursement payment after reasonable diligence, the amount of the reimbursement for that year is forfeited, and the unclaimed funds shall be returned to the transportation development fee fund.
(Ord. 1765 § 2, 1998; Ord. 2000 § 1, 2009; Ord. 2192 § 2, 2019)
Unless a development or other agreement provides otherwise, the following projects shall be exempt, in whole or in part, from the transportation development fee otherwise required by this chapter:
A. 
Residential development consisting of the repair or replacement, on a one-to-one basis, of dwelling units.
B. 
Commercial or industrial/warehouse development consisting of the repair or replacement of structures, provided, that such repair or replacement does not result in any conversion or change in land use which increases the peak hour trip rate applicable to the previous structure, or any enlargement of gross floor area beyond that of the previous structure.
C. 
Additions, extensions or enlargements of an existing commercial, office/retail, or light industrial/warehouse structure which, in any calendar year, do not increase the gross floor area of the structure by 200 square feet or more.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
The fees paid pursuant to the provisions of this chapter shall, except for temporary investments, be placed in a separate fund in a manner to avoid commingling of the fees with other revenues or funds of the city, and shall be used solely for the purpose of acquiring and constructing the transportation improvements identified by the city council. Any interest income earned on the fund shall also be deposited therein and shall only be expended for the purposes set forth in this section.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
Refunds may be made where:
A. 
Development has ceased, the building permit has expired and no extensions have been granted, or if granted, the extensions have expired; as to a development for which the fee required under this chapter has been collected; provided that the claim for such a refund is filed no later than six months after the expiration date of the building permit, or any extension thereof as may have been approved by the city; or
B. 
A refund is specifically authorized by resolution of the city council adopted pursuant to Government Code Section 66001(d). Such amounts shall be refunded by the city to the then-current record owners of the development on a prorated basis. The city may effect such refunding by direct payment, or by providing credit towards future transportation improvements fees, or by any other means consistent with the intent of Government Code Section 66001.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
A developer may appeal to the city council any final administrative determination made pursuant to this chapter, after exhausting all other appeals provided in this chapter, and payment of the fee for a planning appeal as set forth in the master fee schedule (on file in the office of the city clerk). All appeals to the city council shall be in a form prescribed by the city clerk and shall be filed within 15 days of the date of mailing to the developer any written notice of the applicable final administrative determination. Any appeal not filed within such period shall be deemed waived. The city clerk shall set the matter for hearing before the city council within 45 days of the date of receipt by the city clerk of the notice of the appeal. In making its determination on the appeal, the city council shall follow the standards set forth in this chapter.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
The fees required by this chapter shall expire when the transportation improvements are completed and all debt service and reimbursements related to such transportation improvements are paid and satisfied.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
It is the intent of the city council that the fees required by this chapter shall be supplementary to the fees, dedications or conditions imposed upon development pursuant to the provisions of the Subdivision Map Act, California Environmental Quality Act, and other state laws and city ordinances or policies which may authorize the imposition of fees, dedications or conditions thereon.
(Ord. 1765 § 2, 1998; Ord. 2192 § 2, 2019)
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 to impose the fee provided in this chapter. 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 sentence, clause, section or part of this chapter, 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 had 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. 1765 § 2, 1998; Ord. 2192 § 2, 2019)