Title
HEARING - Department of Transportation recommending the Board adopt and authorize the Chair to sign Resolution 104-2026 for the 2026 Traffic Impact Fee Schedule Annual Update.
FUNDING: Traffic Impact Fee Program
Body
DISCUSSION/BACKGROUND
On December 3, 2024 (Legistar file 24-1686), the Board adopted the Major Update to the Traffic Impact Fee (TIF) Program via Resolution 213-2024, as required by the General Plan and in compliance with state law. The Major Update was subsequently revised by Resolution 073-2025 on June 10, 2025 (Legistar file 25-0517). General Plan Implementation Measure TC-B, County Ordinance No. 5144 (Ordinance 5144) and Ordinance No. 5173 (Ordinance 5173) state that the fee program shall be updated annually for changes in project costs.
Ordinance 5173 states, “The TIF amounts shall be adjusted for inflation no later than the end of the third fiscal quarter of each year in accordance with the percentage change published by the Engineering News Record [ENR] Construction Cost Index, or if such index ceased to be published, by an equivalent index chosen by the Director, with appropriate adjustments for regional and local construction costs as necessary [...] The Director shall notify the Board at a public meeting of the proposed fee adjustment. No fee adjustment shall be effective until approved by the Board. Any fee adjustment approved by the Board shall be effective on July 1st of the year in which the action is taken, or at such other time as is provided by law.”
The purpose of today’s hearing is to adopt the 2026 Annual Update to the TIF Program, which adjusts project costs. The 2026 Annual Update to the CIP updates the cost estimates from the 2024 TIF Program Major Update either based on actual changes in projects’ cost estimates, or as adjusted for inflation using the ENR Construction Cost Index. The TIF for all zones and land use types are shown in Exhibit A of the proposed Resolution (see Attachment C), and cost adjustments a...
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