HomeMy WebLinkAboutNB 1 TRANS DEV FEES 12-21-92CORRECTED
Aut NEW BUSINESS NO. 1
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Inter -Com
ATE: DECEMBER 21, 1992 UST
TO: WILLIAM A. HUSTON, CITY MANAGER
COMMUNITY DEVELOPMENT DEPARTMENT
FROM: PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION
SUBJECT: ESTABLISHMENT OF PERMANENT TRANSPORTATION SYSTEM IMPROVEMENT
PROGRAM DEVELOPMENT FEES
RECOMMENDATION
For consideration by the City Council at their meeting of December
21, 1992. It is recommended that the City Council adopt Resolution
No. 92-153 which establishes permanent Transportation System
Improvement Program ("TSIP") Development Fees in TSIP Areas "A" and
"B"
BACKGROUND
On November 6, 1989 the Cities of Tustin and Santa Ana entered into
a Joint Powers Agreement which created the Santa Ana -Tustin
Transportation System Improvement Authority (the "Authority"). The
purpose of that agreement was for Santa Ana and Tustin to jointly
develop and maintain a program for transportation system
improvements in certain Transportation System Improvement Program
("TSIP") Areas referred to as TSIP Areas "A" and "B"; to
comprehensively identify all needed transportation system
improvements and their priority in each TSIP area, to .determine the
appropriate developer fees to finance those improvements; and to
control the expenditure of appropriate development fee revenues for
areawide transportation improvements which benefit each respective
TSIP Area.
In compliance with the provisions of the Joint Powers Agreement the
Tustin City Council adopted Ordinance No. 1037 on May 7, 1990 that
added Section 81.01 k. to the Tustin City Code. This section
authorized the City Council to create TSIP areas, and authorized
the City Council to establish fees by Resolution that future
development must pay for transportation improvements located in or
benefitting a TSIP area. Also, in compliance with the provisions
of the Joint Powers Agreement the Tustin City Council on May 7,
1990 adopted Resolution No. 89-165. That resolution established
TSIP Areas "A" and "B" and set interim TSIP Development Fees in
each area until completion of a comprehensive traffic study for
each TSIP Area -that the Authority will use as its basis for
recommending appropriate fee levels to the Santa Ana and Tustin
City Councils.
William A. Huston
Establishment of
December 21, 1992
Page 2
Permanent T.S.I.P. Development Fees
DISCUSSION
In order to proceed with a traffic study for TSIP Areas "A" and
"B", the Santa Ana -Tustin Transportation System Improvement
Authority (TSIA) entered into an Agreement'on April 5, 1990 with
Austin -Foust Associates, Inc. and Robert Bein, William Frost &
Associates to prepare the comprehensive "Santa Ana -Tustin
Transportation System Improvement Program (TSIP) Study". The study
is now finished, and the T.S.I.A. Board at their meeting of
December 3, 1992 took formal action to accept the document as
complete. A copy of the final report, dated November 25, 1992, is
attached under separate cover and is also available to the public
for their review at the Public Works Department counter at City
Hall.
Having accepted the "Santa Ana -Tustin Transportation System
Improvement Program Study" as complete, the T.S.I.A. Board
unanimously adopted a motion at their meeting of December 3, 1990
to recommend that the Santa Ana and Tustin City Councils modify
their existing TSIP Development Fee Schedule and adopt the proposed
two-year graduated development fee program as outlined in the
following table:
January, 1993
January, 1994
AREA A
$5.53
Full Cost Recovery
($6.53 plus
adjustment for
inflation)
$3.31
Full Cost Recovery
($4.31 plus
adjustment for
inflation)
A full discussion of the proposed development fee program is
included as "Exhibit i" which represents the complete Agenda Item
report considered by the T.S.I.A. Board on December 3, 1992.
It should be noted that certain provisions of the Joint Powers
Agreement speaks directly about the setting of fees and the
obligation of both cities, and stipulates that, "At such time as
the parties hereto receive recommended fee levels from the
Authority pursuant to Section 4C of this Agreement, each party
shall adopt or amend its ordinances and/or resolutions to impose
development fees in accordance with such recommendation,... "
(Section 3(a), page 8); and "...the Authority shall make
recommendations for appropriate development fee levels for each of
the TSIP Areas to the Santa Ana and Tustin City Councils, which
each agrees to adopt" (Section 4C, page 15).
William A. Huston
Establishment of Permanent T.S.I.P. Development Fees
December 21, 1992
Page 3
CONCLUSIONS
Provisions of the Joint Powers Agreement with the City of Santa Ana
obligates both Cities to implement development fee levels in the
Transportation System Improvement Program Areas that may be
recommended by -the Transportation System Improvement Authority.
Based upon completion of the TSIP Study, dated November 25, 1992,
the TSIA Board, has taken formal action to recommend to the Santa
Ana and Tustin City Councils that their respective Development Fees
in TSIP Areas "A" and "B" be modified and a two-year graduated
program that would be designed to attain full -cost recovery in the
second year of the program be adopted.
Attached for the City Council's consideration is a'recommended
Resolution for adoption that is responsive to the T.S.I.A. Board
development fee recommendation and establishes permanent T.S.I.P.
Development Fees in Areas "A" and "B".
Christine A. Shinglep6pr Robert S. Ledendecker
Assistant City Mana a Director of Public Works/City
Engineer
Dana R. Kasdan
Engineering Services Manager
RSL:DRK:kIb:TSIP
Attachments
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RESOLUTION NO. 92-153
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, ESTABLISHING TRANSPORTATION
SYSTEM IMPROVEMENT PROGRAM DEVELOPMENT FEES
WHEREAS, Section 8101 k. of the Tustin City Code establishes
the authority of the City Council to create Transportation System
Improvement Program Areas and to establish fees on development in
such areas to pay for the transportation system improvements
located in or benefitting such areas; and
WHEREAS, the City Council has deemed it appropriate to
previously establish, by Resolution No. 89-165, two Transportation
System Improvement Program ("TSIP") Areas in Tustin, hereinafter
referred to as TSIP Area "A" and TSIP Area "B" which are
identified in Exhibit "A" attached hereto and incorporated herein
by reference, as distinct TSIP Areas and to establish
transportation system improvement development fees in each area;
and
WHEREAS, the "Santa Ana -Tustin Transportation System
Improvement Program Study" by Austin -Foust Associates, Inc. and
Robert Bein, William Frost & Associates, dated November 25, 1992,
has been completed, and has fully studied projected development,
identified traffic mitigation measures and associated improvement
costs and developed a fee program to mitigate traffic impacts
generated by development activity within TSIP Area "A" and Area
"B"; and
WHEREAS, the "Santa Ana -Tustin Transportation System
Improvement Program Study", dated November 25, 1992, has provided
a comprehensive program listing of transportation improvements to
reduce potential impacts from proposed development in TSIP Areas
"A" and "B"; and
WHEREAS, the "Santa Ana -Tustin Transportation System
Improvement Program Study", dated November 25, 1992, shows that
over thirty-eight million dollars ($38,000,000) in public
improvements are needed in TSIP Area "A", including nearly twenty-
eight million dollars ($28,000,000) in the City of Santa Ana and
over ten million dollars ($10,000,000) in the City of Tustin; and
WHEREAS, the "Santa Ana -Tustin Transportation System
Improvement Program Study", dated November 25, 1992, shows that
nearly forty million dollars ($40,000,000) in public improvements
are needed in TSIP Area "B", including over twenty-five million
dollars ($25,000,000) in the City of Santa Ana and nearly fifteen
million dollars ($15,000,000) in the City of Tustin; and
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Resolution 92-153
Page 2
WHEREAS, the Transportation System Improvement Program will
be applied to all types of development projects including
residential, commercial, office and industrial, subject to certain
limited exceptions set forth in Section 8101 k. of the Tustin City
Code; and
WHEREAS, the use of the fee_ for transportation system
improvements is reasonably related to all types of development
projects because the owners, the occupants and visitors of all
types of uses will be benefitted by improved vehicular traffic
flow; and
WHEREAS, the need for the public facilities is reasonably
related to all types of development projects because all types of
development projects generate vehicular traffic; and
WHEREAS, the restriction of the use of fees to transportation
system improvements which are located in, or which,substantially
benefit, the area of the city from which the fees are derived
assures that the fees derived from any given development project
are used to provide those transportation improvements which most
directly address the needs created by such development projects;
and
WHEREAS, allowing further development within each TSIP Area
without developer contributions toward funding needed circulation
improvements would be injurious to the public safety, health and
welfare; and -
WHEREAS, TSIP Areas "A" and "B" consisting of that territory
identified in Exhibit "A" were previously established by
Resolution No. 92-165.
NOW, THEREFORE, be it resolved by the City Council of the
City of Tustin as follows:
1. Effective January 1, 1993, the fees to be charged
pursuant to Tustin City Code Section 8101 k. for Transportation
System Improvement Program Areas "A" and "B" are hereby
established as follows:
A. - For TSIP Area "A" an amount based upon five dollars
and f ifty-three cents ($5.53) per square foot of new or added
gross floor area of construction or improvements which is the
subject of a building permit application for which payment of
a fee is required by Tustin City Code Section 8101 k.
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Resolution 92-153
Page 3
B. For TSIP Area "B" an amount based upon three
dollars and thirty-one cents ($3.31) per square foot of new
or added gross floor area of construction or improvements
which is the subject of a building permit application for
which payment of a fee is required by Tustin City Code
Section 8101 k.
2. Effective January 1, 1994, ,the fees to be charged
pursuant to Tustin City Code Section 8101 k. for Transportation
System Improvement Program Areas "A" and "B" are hereby
established as follows:
A. For TSIP Area "A" an amount based upon six dollars
and fifty-three cents ($6.53) plus an inflation adjustment
for the one year period between January 1, 1993 and December
31, 1993 per square footage of new or added gross floor area
of construction or improvements which is the subject of a
building permit application for which payment of a fee is
required by Tustin City Code Section 8101 k.
B. For. TSIP Area "B" an amount based upon four dollars
and thirty-one cents ($4.31) plus an inflation adjustment for
the one year period between January 1, 1993 and December 31,
1993 per square footage of new or added gross floor area of
construction or improvements which is the subject of a
building permit application for which payment of a fee is
required by Tustin City Code Section 8101 k.
3. The purpose and use of the above said fees is set forth
in Section 8101 k. of the Tustin City Code as follows:
"The purpose of •a Transportation System Improvement
Program Area is to identify and designate those areas
where the transportation system may experience a
significant reduction in the level of service unless
corrective measures are instituted concurrent with
increased transportation demands. Fees collected for
building projects and improvements on properties in
Transportation System Improvement Program Areas shall be
used to improve the areawide transportation system
within such area, except said fees may be expended for
improvements outside the area when such improvements
will substantially benefit the transportation system
within the area."
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Resolution 92-153
Page 4
PASSED AND ADOPTED at a regular meeting of the City Council
of the City of Tustin held on the 21st day of December., 1992
(ATTEST:
City Clerk
Leslie Anne Pontious, Mayor
City of Tustin
RESOLUTION CERTIFICATION
STATE OF CALIFORNIA)
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
CERTIFICATION FOR RESOLUTION NO. 92-153
Mary E. Wynn, City Clerk, and ex -officio Clerk of the City Council
of the City of Tustin, California, does hereby certify that the
whole number of members of the City Council is five; that the
above and foregoing Resolution No. 92-153 was duly and regularly
passed and adopted at a regular meeting of the City Council held
on the 21st day of December, 1992 by the following vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
(COUNCIL MEMBER ABSENT:
Mary E. Wynn, City Clerk
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(PRoPiRims rRommo. sant smrs or Tw
SMW ABS RMCU F M IN TM FU ARRA)
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(PMPMMss rRowme ntM possox or
13OUNDARY ARL ENCi71dCMM IN as TZs AREA)
Santa Ana/Tustin Transportation Systcm 2
Improvement Program
Figure 1
SANTA ANA/TUSTIN TSIP
STUDY AREA
Austin -Foust Associates, Inc.
RESOLUTION 92-153
EXHIBIT "A"
1`t Y O
TE: NOVEMBER 30, 1992 Inter -Com.
TO: T.S.I.A. BOARD
FROM: PAM LUCADO, TRANSPORTATION DEVELOPMENT ENG. , CITY OF SANTA ANA
DANA R. KASDAN, ENGINEERING SERVICES MANAGER, CITY OF TUSTIN
SUBJECT: PROPOSED DEVELOPMENT FEES FOR THE SANTA ANA-TUSTIN
TRANSPORTATION SYSTEM IMPROVEMENT AUTHORITY
RECOMMENDATION
That the Transportation System Improvement Authority (TSIA) Board,
at their meeting of December 3, 1992, recommend that the Santa Ana
and Tustin City Councils modify their existing TSIP Development Fee
Schedules and adopt the proposed two-year graduated development fee
program as outlined in the following table:
January 1993
January 1994
DISCUSSION
AREA A
$5.53
Full Cost Recovery
($6.53 plus
adjustment for
inflation)
AREA B
$3.31
Full Cost Recovery
($4.31 plus
adjustment for
inf lation)
With completion of the "Santa Ana -Tustin Transportation System
Improvement Program Study" by Austin -Foust Associates, Inc. and
Robert Bein, William Frost & Associates, dated November 1992, a
comprehensive program of transportation improvements to reduce
potential impacts from proposed development TSIP Areas A and B has
now been prepared. That listing of improvements has formed the
basis for a Transportation Development Fee Program that is intended
to pay for the estimated cost of constructing area -wide
transportation improvements within TSIP Areas A and B.
In recommending the proposed fee program, both City staffs have
been concerned with the need to implement the same fee levels for
each of the two cities, to take into consideration the current
economic slowdown, to have fees that are not excessive when
compared with adjacent cities, and the need to ease into the
proposed TSIP fee schedules by utilization of a graduated program.
In developing the
acknowledged that due
implementation of the
identified for Areas
pursue acquisition of
proposed fee program, it has also been
to the current economic climate
area wide transportation system improvements
A and B may likely require the Authority to
outside funding sources, such as, but not
EXHIBIT "1"
TSTA BOARD REPORT
T.S.I.A. Board
Proposed Developmen.. Fees
November 30, 1992
Page 2
limited to: Measure M, Proposition ill and various State and
Federal Programs if applicable.
For information, a number of attachments have been furnished with
this report to provide the Board with relevant background data
concerning development of the proposed fee program. The
attachments are referenced as follows:
1. Attachment "A" - A cost allocation overview by City and
by TSIP area for the proposed transportation system
improvements. Also attached is a copy of Table 4 from
the Santa Ana -Tustin Transportation System Improvement
Program Study by Austin -Foust Associates and Robert Bein,
William Frost & Associates that lists the identified TSIP
projects with estimated costs.
2. Attachment "B" - A letter, dated November 18, 1992, to
Austin -Foust Associates from the Co -Project Directors
regarding the proposed TSIA Fees and completion of the
TSIP Study.
3. Attachment "C" - An Inter -Com Memorandum, dated November
20, 1992, from the City of Tustin Transportation Engineer
documenting research into the development fee levels
currently being charged in adjacent Cities. This
research has shown that the proposed development fee
levels for the Santa Ana -Tustin Transportation System
Improvement Authority are not excessive when compared to
those found in neighboring cities.
Based upon the preceding discussion, it is felt that the most
equitable increase for the TSIP Development Fee schedule would be
the following two-year graduated program that would be designed to
attain full -cost recovery.in the second year of the program:
PROPOSED GRADUATED TSIP DEVELOPMENT FEE PROGRAM
AREA A
January 1993 $5.53
January 1994 Full Cost Recovery
($6.53 plus
adjustment for
inflation)
(IW4 ed, 41 /
Dana R. Kasdan
Engineering Services Manager
City of Tustin
DRK:PL:ccg:tsiafees
Attachments
AREA B
$3.31
Full Cost Recovery
($4.31 plus
adjustment for
inflation
Pam Lucado
Transportation Development
Engineer, City of Santa Ana
SANTA ANA-TUSTIN
TRANSPORTATION SYSTEM IMPROVEMENT PROGRAM
COST ALLOCATION OVERVIEW
BY CITY
AREA "All LOCATIONS
15 Improvement locations
-5 Locations improved by others
10 Remaining locations
6 Locations in Santa Ana = $27,959,500
4 Locations in Tustin = $108404,350
Subtotal Area "A" $38,363,850
AREA "B" LOCATIONS
29 Improvement locations
-15 Locations improved by others
14 Remaining locations
5 Locations in Santa Ana = $25,108,975
9 Locations in Tustin = $14,701,055
Subtotal Area "B" $391810,030
GRAND TOTAL (Area A & B) _ $78,173,880
Santa Ana = $53,068,475 (67.9%)
Tustin = $25,105,405 (32.1%)
November 25, 1992
Attachment "A"
AREA "A" LOCATIONS
COMMITTED
IMPROVEMENT
Table 4
COST ALLOCATION SUMMARY
(MINUS
ADDITIONAL CONTRIBUTION
IMPROVEMENTS TOTAL BY OTHERS)
'
NET TOTAL
NOTES
1.
Grand & 4th
$0
$5,655,300
$5,655,300
$0
$5,655,300
2.
Grand & 1st
0
3,355,700
3,355,700
(750,000)
2,605,700
$750,000 to Xerox
3.
Grand & Chestnut
0
4,470,400
4,470,400
0
4,470,400
10.
I-5 NB Ramps & 4th
0
0
0
0
0
Caltrans
11.
Lyon & 1st
0
1,483,700
1,483,700
0
1,483,700
17.
1-5 SB Ramps & 4th
0
0
0
0
0
Caltrans
19.
I-5 SB Ramps & ,1st
0
0
0
0
0
Caltrans
24.
Tustin & 17th
402,200
8,082,700
8,484,900
(402,200)
8,082,700
$402,200 to Others
26.
Tustin & 4th
0
5,661,700
5,661,700
0
5,661,700
31.
SR -55 SB Ramps & 4th
0
0
0
0
0
Caltrans
32.
SR -55 NB Ramps & 4th
0
0
0
0
0
Caltrans
37.
Yorba & Irvine
0
1,803,800
1,803,800
(901,900)
901,900
50% to grant programs
41.
Prospect & Irvine
0
6,371,100
6,371,100
(3,185,550)
3,185,550
50% to grant programs
42.
Prospect & 1st
0
4,381,000
4,381,000
0
4,381,000
44.
Newport & Irvine
0
3,871,800
3,871,800
(1,935,900)
1,935,900
50% to grant programs
SUBTOTAL
AREA "A"
$402,200
45,137,200
45,539,400
(7,175,550)
38,363,850
AREA "B" LOCATIONS
4.
Grand & McFadden
0
8,065,400
8,065,400
(2,016,350)
6,049,050
25% to grant programs
5.
Grand & Edinger
0
11,603,500
11,603,500
(4,061,225)
7,542,275
10% Pacific Ctr East
25% to grant programs
6.
Grand & Warner
0
11,333,400
11,333,400
(2,833,350)
8,500,050
25% to grant programs
7.
Hotel Terrace & Dyer
0
1,269,200
1,269,200
(1,269,200)
0
100% to Others
8.
Grand & Dyer
0
5,866,700
5,866,700
(5,866,700)
0
100% to Others
9.
SR -55 NB Ramps & Dyer
0
143,500
143,500
(143,300)
0
100% to Others
15.
Lyon & Edinger
0
1,428,100
1,428,100
(1,428,100)
0
100% to Pack Ginter West
21.
Ritchey & McFadden
0
2,686,600
2,686,600
0
2,686,600
22.
Ritchey & Edinger
0
2,244,300
2,244,300
(2,244,300)
0
100% to Pacific Cater West
(Continued)
Table 4 (cont.)
COST ALLOCATION SUMMARY
AREA "B" LOCATIONS
COMMITTED
IMPROVEMENT
ADDITIONAL
IMPROVEMENTS
TOTAL
(MINUS
CONTRIBUTION
BY OTHERS)
,
NET TOTAL
NOTES
28.
Tustin Village Way & McFadden
0
331,000
331,000
0
331,000
33.
SR -55 SB Ramps & Edinger
0
2,997,400
2,997,400
(2,997,400)
0.
63% to Pacific Ctr East,
37% to Others
49.
Newport & I-5 Off -SB Ramp/Nisson 0
0
0
0
0
Caltrans
51.
Newport & Walnut
0
18,200
18,200
0
18,200
52.
Newport & Sycamore
0
114,600
114,600
0
114,600
53.
Newport & Edinger
2,386,000
0
2,386,000
(2,386,000)
0
100% Pacific Ctr East
54.
Newport & Del Amo
1,370,900
0
1,370,900
(1,370,900)
01
100% Pacific Ctr East
55.
Del Amo & Edinger
2,170,300
0
2,170,300
(2,170,300)
0
100% Pacific Ctr East
56.
Redhill & I-5 NB Ramps
0
2,721,400
2,721,400
0
2,721,400
57.
Redhill & I-5 SB Ramps
0
1,852,000
1,852,000
0
1,852,000
58.
Redhill & Mitchell
0
1,565,800
1,565,800
0
1,565,800
59.
Redhill & Walnut
0
3,280,300
3,280,300
(5,500)
3,274,800
$5,500 to Pacific Ctr East
60.
Redhill & Sycamore
0
5,136,300
5,136,300
(1,289,575)
3,846,725
25% to grant programs,
$5,500 to Pacific Ctr East
61.
Redhill & Edinger
0
4,173,800
4,173,800
(4,173,800)
0.
70% to grant programs &
others, 30% to Pacific Ctr
East
62.
Redhill & Valencia
0
2,591,300
2,591,300
(2,332,170)
259,130
50% to Others, 40% to
Pacific Ctr East
63.
Redhill & Warncr
0
2,416,800
2,416,800
(1,368,400)
1,048,400
50% to Others, $160,000
to Pacific Ctr East
64.
Redhill & Dyer
0
4,703,500
4,703,500
(4,703,500)
0.
100% to Others
66.
Jamboree & Barranca
0
3,895,000
3,895,000
(3,895,000)
0
100% to Others
67.
Jamboree & Edinger
6,400
965,700
972,100
(972,100)
0
100% to Others
74.
Pullman & Dyer
0
4,785,100
4,785,100
(4,785,100)
0
100% to Others
SUBTOTAL AREA "B"
5,933,600
86,188,900
92,122,500
(52,312,470)
39,810,030
GRAND TOTAL
6,335,800
131,326,100
137,661,900
(59,488,020)
78,173,880
1T®r%�
Y Public Works /Engineering
City Of Tustin
November 18, 1992 15222 Del Amo Avenue
Tustin, CA 92680
.(714) 544-8890
FAX (714) 832-0825
Mr. Terrance W. Austin
Austin -Foust Associates, Inc.
2020 North Tustin Avenue
Santa Ana, Ca 92701
Re: Santa Ana/Tustin Transportation System Improvement Authority
Proposed Fees
Dear Mr. Austin:
City staffs from Santa Ana and Tustin have held.a series of recent
meetings to discuss the proposed TSIA fee that will be considered
by the Santa Ana/Tustin Transportation System Improvement Authority
Board at there meeting of December 3, 1992. Following adoption of
the Santa Ana/Tustin Transportation System Program Study, authored
by _your firm, both Cities will adopt a fee program to provide
financing for the recommended improvements in the joint study area.
As you are certainly aware, the rapid pace of development that was
occurring in April, 1990, when the Consultant Agreement with
Austin -Foust Associates was executed, is definitely not the case
today. Based upon -this situation, our approach to the setting of
fees in today's. economic climate is different than what we had
envisioned back in April, 1990. At that time it was assumed that
the program would be predominantly self -funding and that the fees
collected would be enough to cover the improvement program costs.
In November 1992, however, a self -funding program is unrealistic,
due to the slow development climate, and additional funding sources
will need to be sought to fully fund improvements. It. is hoped
that such a situation will improve in the future.
In light of this slow development climate, both of our staffs
believe that the development of transportation improvement fees
should be based upon all of the development (committed and
anticipated) within the study's ten-year time frame rather than
only a five-year time frame. This will then tend to be more
reflective of how development timing seems to be proceeding now.
Needless to say, if the pace of development were to pick up
substantially, the TSIA Board could alter their fee program during
their annual review.
With this in mind, the resulting
data contained in Table 2, Page 6
III -5); and Table 4, Pages 9-10
VI -2 and VI -3) of your report fo
fee calculation based upon the
(also shown as Table III -3, Page
(also shown as Table VI -1, pages
r Areas. A and ,B is as follows:
ATTACHMENT '"B"
Santa Ana/Tustin TSIA Proposed Fees
November 18, 1992
Page 2
AREA A
Cost Allocation $38,363,850
Development Increment
(Sq. Ft.) 5,874,600
Fee ($/Sq.Ft.) $ 6.53
AREA B TOTAL
$39,810,030 $781173,880
9,232,500
$ 4.31
* Does not include Birtcher-Xerox Development, See Footnote
No. 2 in Table 1 on Page 4 (also shown as Table III -1,
Page III -3) . of , your firm's report .
Thus, Area A would have a higher fee ($6.53) compared to Area B
($4.31) due to the cost of improvements in relation to the lower
amount of new development.
Both staffs are concerned with adopting a fee program that would
affect new development during the current recessionary period. For
that reason, Santa Ana and Tustin staffs agree that it would be
best to approach a new fee program with a graduated increase. Such
an approach had been mentioned at the TSIA Board meeting on August
27, 1992, and there appeared to be a general consensus from the
Board members present that such an approach was probably a good
idea given the poor state of the economy. Subsequent to that Board
meeting, Tustin City staff 'met with their respective TSIA Board
members to further discuss the graduated fee program concept as
well as possible future fee levels, and their was a consensus
expressed that such an approach was acceptable.
The existing fee program is shown on the following table:
EXISTING FEE PROGRAM TABLE
Area A Area B
Santa Ana $4.52/S.F. 3% of building valuation
(approximately $2.40/S.F.)
Tustin 2% of building $1.00-$2.60/S.F.
valuation .
(approximately $1.60/S.F.)
ATTACHMENT "B"
�- Santa Ana/Tustin TSIA Proposed Fees
November 18, 1992
Page 3
Accordingly, after considerable discussion, both City staffs have
agreed that the most equitable fee increase would be the following
two-year graduated program that would be designed to attain full -
cost recovery in the second year of the program:
January 1993
January 1994
PROPOSED GRADUATED FEE PROGRAM TABLE
Area A
$5.53
Full Cost Recovery
($6.53 plus
adjustment for
inflation)
Area B
$3.31
Full Cost Recovery
($4.31 plus
adjustment for
inflation)
We hope that this discussion will be helpful to you in the
finalizing of the Santa Ana -Tustin Transportation System
Improvement Program Study. If you have any questions, please do
not hesitate to contact either of us. Thank you for your continued
assistance in the preparation of this formidable study.
very truly yours,
Dana R. Kasda
Engineering Services Manager
City of Tustin
Pam Lucado
Transportation Development
Engineer, City of Santa Ana
DRK:PL:ccg:fees
cc: George Alvarez, City.of Santa Ana
William A. Huston, City of Tustin
Robert S. Ledendecker, City of Tustin
"Cindy Nelson, City of Santa Ana
Jim Ross, City of Santa Ana
Christine A. Shingleton, City of Tustin
Robyn Uptegraff, City of Santa Ana
Rita Westfield, City of Tustin
ATTACHMENT "B"
tT Y O
DA E: NOVEMBER 20, 1992
Inter -Com LS10+
TO: DANA R. KASDAN, ENGINEERING SERVICES MANAGER
FROM: DOUGLAS R. ANDERSON, TRANSPORTATION ENGINEER
SUBJECT: FEE SCHEDULES FOR TRAFFIC IMPACT MITIGATION WITH ADJACENT
CITIES (P.W. FILE NO. 2008)
Pursuant to your recent request to contact cities adjacent to
Tustin and acquire information regarding the noted subject, contact
has been made with the Cities of Irvine, Orange, Newport Beach, and
Costa Mesa.
The attachment itemizes each contacted City and lists traffic
impact fees for certain land uses. _
If you have any questions, or require additional information,
please do not hesitate to contact me.
Doug s R. Anderson
Transportation Engineer
DRA:ccg;fees
Attachment
ATTACHMENT "C"
EXISTING TRAFFIC IMPACT FEES
CITY OF IRVINE:
FEE AREA FEE RATE
Citywide: 1/2% of building valuation
IBC: Office: $10.70/ gross sq. ft.
Retail: $10.70/ gross sq. ft.
Manufacturing/
Warehouse: $ 3.30/ gross sq. ft.
Lodging: $4,883 per room
Residential: $3,734 per D.U.
CITY OF ORANGE:
FEE AREA
FEE RATE
TSIP A: Main St. Corridor
$1554.88 per
D.U.
Non -Residential:
$4.84 per sq.
ft.
Residential:
$ -0-
D.U.
TSIP B: WEST OF 55-FRWY
$ 777.44 per
D.U.
Office:
$3.00 per sq.
ft.
Commercial:
$4.95 per sq.
ft.
Industrial:
$1.80 per sq.
ft.
Residential:
$427.00 per D.U.
TSIP C; EAST OF 55-FRWY
Boat Yards (net floor area):
$4:79 per sq.
Non -Residential:
$2.70 per_sq.
ft.
Residential:
$411.00 per D.U.
CITY OF NEWPORT BEACH: CITYWIDE FEE AREA
Residential:
S.F. Detached:
$1554.88 per
D.U.
S.F. Attached:
Duplex, Triplex, Fourplex
$1016.65 per
D.U.
Fiveplex, or greater:
$ 777.44 per
D.U.
Hotels/Motels:
$1196.00 per
room
Commercial:
Regional (net floor area):
$5.39 per sq.
ft.
General Retail (gross floor area):
$4.79 per sq.
ft.
Boat Yards (net floor area):
$4:79 per sq.
ft.
1
ATTACHMENT "C"
Existing Traffic Impact Fees
November 20, 1992
Office:
$ 9.16
per
sq. ft.
Retail Commercial:
General (net floor area):
$1.55
per
sq.
ft.
Medical (gross floor area):
$4.79
per
sq.
ft.
Restaurant (gross floor area):
Multi -Family Residential:
$4025
per
D.U.
Conventional:
$8.97
per
sq.
ft.
Take Outs:
$4.79
per
sq.
ft.
Industrial (net floor area):
$0.71
per
sq.
ft.
Recreational (net floor area) :
Yacht Clubs:
$5.98
per
sq.
ft.
Athletic Clubs:
$4.79
per
sq.
ft.
CITY OF COSTA MESA: CURRENTLY DEVELOPING CITYWIDE POLICY. CURRENT
FEE AREA LOCATED NORTH OF BAHIA STREET.
Office:
$ 9.16
per
sq. ft.
Retail Commercial:
$49.64.per
sq. ft.
S.F. Residential Detached:
$6680
per
D.U.
S.F. Residential Attached:
$5678
per
D.U.
Multi -Family Residential:
$4025
per
D.U.
Hotel:
$5817
per
room
2
ATTACHMENT "C"