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HomeMy WebLinkAboutCC RES 06-143RESOLUTION NO. 06-143 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT APPROVING THE TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) 2006 NEXUS STUDY REPORT AND INCREASING THE TUMF AMOUNTS APPLICABLE TO ALL DEVELOPMENTS IN THE CITY OF PALM DESERT WHEREAS, the City of Palm Desert ("City") is a Member Agency of the Coachella Valley Association of Governments ("CVAG"), a joint powers agency consisting of the County of Riverside ("County"), The Aqua Caliente Band of Cahuilla Indians, the Cabazon Band of Mission Indians, the Torres Martinez Desert Cahuilla Indians, the City of Blythe, and the nine cities situated in the Coachella Valley (collectively, "Member Agencies"); and WHEREAS, acting in concert, the Member Agencies developed a plan whereby the shortfall in funds needed to enlarge the capacity of the Regional System of Highways and Arterials within CVAG's jurisdiction (the "Regional System") could be made up in part by a Transportation Uniform Mitigation Fee ("TUMF") imposed on future residential, commercial and industrial development within the jurisdiction; and WHEREAS, the Mitigation Fee Act (California Government Code, Section 66000 et seq.) establishes the criteria for establishing a fee as a condition of approval of a development project; and WHEREAS, as a CVAG Member Agency, the City participated in the preparation of the 1987 Coachella Valley Area Transportation Study ("1987 Transportation Study") prepared pursuant to the Mitigation Fee Act and based on the 1987 Transportation Study, the City adopted and implemented Ordinance No. 573 authorizing its participation in the imposition and collection of the TUMF; and WHEREAS, section 3.44.030 of Ordinance 573 provides that the CVAG Executive Committee shall annually review and, if necessary, amend the amount of the recommended TUMF to ensure that it is a fair and equitable method of distributing the costs 1 RESOLUTION NO. 06-143 of the improvements necessary to accommodate traffic volumes generated by future growth; and WHEREAS, CVAG commissioned Parsons Brinckerhoff to prepare an updated TUMF study entitled "2006 Fee Schedule Update, Nexus Study Report", and dated June 27, 2006 ("2006 Nexus Study") to establish updated TUMF levels and program revenue collection targets, which was approved by the CVAG Executive Committee on July 31, 2006 and which is attached hereto as Exhibit "A" and incorporated by reference; and WHEREAS, the 2006 Nexus Study revealed that there is a projected shortfall in revenue to complete the Regional System in the approximate amount of $1.2 billion, which must be resolved from local resources, developer contributions and TUMF; and WHEREAS, based upon the findings of the 2006 Nexus Study and the recommendations of the Executive Committee's TUMF Nexus Advisory Committee, on July 31, 2006 the CVAG Executive Committee approved an increase in the Fee Per Average Daily Trip portion of the TUMF Fee Schedule to take effect January 1, 2007, which is less than the TUMF proposed by the 2006 Nexus Study; and WHEREAS, section 3.44.030 of Ordinance 573 provides that the amount of the TUMF shall be based on the trip generation rate and as recommended by CVAG and that the City Council shall adopt by resolution the fee amount recommended by CVAG or a higher fee amount; and WHEREAS, by notice duly given and posted, as described in Exhibit "B", on October 31, 2006 the City Council conducted a public hearing to consider approval of the 2006 Nexus Study and adoption of the proposed TUMF increase; and WHEREAS, at the time and place set for the hearing, the City Council duly considered the data and information provided by CVAG, City staff and the public relative to the cost of the services for which the fees are proposed and all other comments, whether written or oral, submitted prior to the conclusion of the hearing; and RESOLUTION NO. 06-143 WHEREAS, the City Council finds that the 2006 Nexus Study provides the information required by Mitigation Fee Act as justification for an increase in such fees; and WHEREAS, the adoption of this Resolution increasing existing development impact fees modifies a government funding mechanism which is not a physical change in the environment and therefore, is not a project under CEQA (14 Cal. Code of Regs. s 15378 (b) (4)) ; and WHEREAS, the City desires to approve the 2006 Nexus Study and to adopt the TUMF fee schedule recommended by the CVAG Executive Committee. NOW, THEREFORE, be it resolved by the City Council of the City of Palm Desert as follows: Section 1. Evidence. The City Council has considered all of the evidence submitted into the administrative record, which includes, but is not limited to, the following: (a) Chapter 3.44 of the Palm Desert Municipal Code; (b) The City's General Plan, including updates; (c) The "2006 Fee Schedule Update, Nexus Study Report", prepared by Parsons Brinckerhoff, and dated June 27, 2006 ("2006 Nexus Study") and all underlying reports and documents referenced therein; (d) Letter from Allyn S. Waggle, CVAG Deputy Executive Director, to Member Agencies dated August 25, 2006, wherein CVAG requests Member Agencies prepare for the proposed fee increase by amending their enabling resolutions or ordinances; and (e) The public comments, both written and oral, received and/or submitted at, or prior to the City Council public hearing supporting and/or opposing the staff recommendation. RESOLUTION NO. 06-143 Section 2. CEQA Findings. That the City Council hereby finds that the City has complied with the California Environmental Quality Act in the approval of the subject fees. The adoption of this Resolution increasing existing development impact fees modifies a government funding mechanism, which is not a physical change in the environment and therefore, is not a project under CEQA. (14 Cal. Code of Regulations § 15378(b)(4)) Further, this Resolution is for the purpose of modifying fees, and is not intended to approve a capital project for which separate review under CEQA will be required at the time such project is considered for approval by the City. (14 Cal. Code of Regs. § 15273(a)) Section 3. Mitigation Fee Act Findings. In view of all of the foregoing evidence, the City Council hereby finds and concludes as follows: (a) That the 2006 Nexus Study presents an evaluation of population and employment growth, future transportation needs and the availability of traditional transportation funding sources to establish updated TUMF levels and program revenue collection targets. (b) That based on the results of the 2006 Nexus Study, it is possible to determine a reasonable relationship between the cumulative regional impacts of new land development projects in the Coachella Valley on the regional system of roads, streets and highways ("Regional System") and the need to mitigate these transportation impacts using funds levied through the TUMF program. (c) That the 2006 Nexus Study establishes the purposes of the TUMF, which may be summarized as a uniform development impact fee to help fund construction of the Regional System needed to accommodate growth in the Coachella Valley to the year 2030. (d) That the 2006 Nexus Study establishes that TUMF pEoceeds will be used to help pay for the cofis .ruciion 4 RESOLUTION NO 06.143. and acquisition of the Regional System improvements identified in the 2006 Nexus Study. Such improvements are necessary for the safety, health and welfare of the residential and non-residential users of the development projects on which the TUMF will be levied. (e) That the 2006 Nexus Study establishes a reasonable and rational relationship between the use of TUMF proceeds and the type of development projects on which it is imposed, which may be summarized as follows: • New residential and nonresidential developments contribute to the expected growth of the City and the Coachella Valley. • New residential and nonresidential developments will benefit from the Regional System improvements and the burden of such development will be mitigated in part by the payment of the TUMF. • The amount of the TUMF is based directly on the potential traffic generation of proposed land uses and the projected need for additional streets, interchanges, and intersection improvements and the cost of these improvements has been distributed to the various land use categories in proportion to the traffic generated from each land use category. • The TUMF is a fair and equitable method of distributing the cost of transportation improvements among the developments that will generate the increased traffic. (f) That the 2006 Nexus Study establishes the reasonable relationship between the impact of new development and the need for the TUMF, which may be summarized as follows: • The continuing residential and nonresidential growth of the City and Coachella Valley will result in increasing congestion on the Regional System due tc the impact of newly created trips 5 RESOLUTION NO. 06:143 and traffic demand and future Regional System congestion is directly attributable to the cumulative regional transportation impacts of future development in the City and Coachella Valley. • Future residential and nonresidential development within the City and the Coachella Valley to the year 2030 will result in traffic volumes in excess of capacity on the existing Regional System. • If the capacity of the Regional System is not enlarged, substantial traffic congestion will result in all parts of the City and Coachella Valley and the City, with unacceptable Levels of Service throughout the jurisdiction by 2030; capacity improvements to the Regional System will be needed to mitigate the cumulative regional impacts of new residential and nonresidential development; and the Regional System improvements identified in the Transportation Project Prioritization Study, which is incorporated by reference into the 2006 Nexus Study, are arterial roadway facilities that will provide additional capacity to help mitigate the impacts of new development and merit inclusion for funding improvements through the TUMF program. • The 2006 Nexus Study demonstrates the extent to which the new development of land will generate traffic volumes impacting the Regional System and that the TUMF program establishes a fair and equitable method for distributing the unfunded costs of transportation improvements necessary to accommodate the traffic volumes generated by such development. • Revenues from other established funding sources and developer dedications will not be sufficient to address all the Regional System improvements needed to mitigate the impacts of new residential and. nonresidential development; exactions from d.evveloplllenu will ccnst.L uci: silly a poJ_ Lic i of G RESOLUTION NO. 06-.143 local and regional facilities and that. the TUMF program will raise the additional revenues needed to construct the improvements to accommodate traffic that will be generated by development of land within the City and within the Coachella Valley and in the absence of the TUMF program, which imposes a fair -share traffic fee upon new development, existing and future sources of revenue are inadequate to fund substantial portions of the Regional System improvements needed to avoid unacceptable levels of congestion and related adverse impacts. • Absent an increase in the amount of the TUMF collected based on the 2006 Nexus Study, existing and known future funding sources will be inadequate to provide necessary improvements to the Regional System, resulting in an unacceptably high level of traffic congestion within and around Coachella Valley and the City. (g) That the cost estimates set forth in the 2006 Nexus Study are reasonable cost estimates for the facilities that comprise the Regional System. (h) That TUMF program revenues to be generated by new development will not exceed the total fair share of these costs. (i) That the projects and methodology identified in the 2006 Nexus Study for the collection of fees is consistent with the goals, policies, objectives and implementation measures of the City's General Plan. (j) That the public improvements to be funded by the TUMF are detailed in the most recent version of CVAG's Transportation Project Prioritization Study (TPPS), which is on file with the City's Public Works Department. (k) That the proposed development fees comply with the provisions of the Mitigation Fee Act. RESOLUTION NO. 06443_ (1) That the City has complied with the California Environmental Quality Act in the approval of the TUMF. Section 4. Approval of 2006 Nexus Study. That the City Council hereby approves the "2006 Fee Schedule Update, Nexus Study Report", prepared by Parsons Brinckerhoff and dated June 27, 2006, and attached hereto as Exhibit "A". Section 5. Adoption of TUMF Fee Schedule. That the City Council hereby adopts the revised TUMF Formula for Fees attached hereto as Exhibit "C". Section 6. Effective Date. That the increased fees in this Resolution shall become effective as soon as permitted pursuant to the applicable provisions of the California Government Code. [THIS PORTION OF THIS PAGE LEFT INTENTIONALLY BLANK] 8 RESOLUTION NO. U6i43 Section 7. Certification. That the City Clerk shall certify to the passage of this resolution and enter it into the boo}' of original resollit_ l nns . PASSED, APPROVED, AND ADOPTED by the City Council of the City of Palm Desert, California, at its regular meeting held this 3lst day of October, 2006, by the following vote, to wit: AYES: BENSON, KELLY, and SPIEGEL NOES: NONE ABSENT: NONE ABSTAIN: FERGUSON ATTEST: L RACHELLE D. KLASSEN, C TY CLERK CITY OF PALM DESERT, CALIFORNIA APPROVED AS TO FORM: DAVID'J. R IN, CITY ATTORNEY 9 RESOLUTION NO. 06-143 TI-IIS PAGE INTENTIONALLY LEFT BLANK RESOLUTION NO. 06-.143 EXHIBIT "A" 2006 FEE SCHEDULE UPDATE, NEXUS STUDY REPORT TRANSPORTATION UNIFORM MITIGATION FEE 2006 FEE SCHEDULE UPDATE NEXUS STUDY REPORT Prepared for: Coachella Valley Association of Governments In Association with: City of Cathedral City City of Coachella City of Desert Hot Springs City of Indian Wells City of Indio City of La Quinta City of Palm Desert City of Palm Springs City of Rancho Mirage County of Riverside Prepared by: Parsons Brinckerhoff 685 East Carnegie Drive, Suite 210 San Bernardino, California 92408 909-888-1106 vvv.jb•world. m �� BR OFF June 27, 2006 CABLE OF CONTENTS 1.0 Introduction 1 1.1. TUMF Boundary Determination 1.2. Measure A and the CVAG TUMF Program 5 1.3. Mitigation Fee Act and Other Legal Requirements 6 2.0 Future Growth and the Need for TUMF 8 2.1. Future Growth Trends 8 2.2. Future Highway Traffic 8 2.3. The TUMF Concept 10 3.0 TPPS and RACE 12 3.1. Cost Estimation Methodology 12 3.2. Projects Included in the TPPS and RACE 26 4.0 Traffic Growth Attributable to New Development 28 4.1. Determining Traffic Growth 28 4.1.1. Background on CVATS Model 28 4.1.2. Determining Trip Growth Forecasted by the CVATS Model 29 4.1.3. Converting Model Forecasts to Project Level Forecasts 31 4.2. Fee Category Share of New Trips 31 5.0 TUMF Collection Target 35 5.1. Other Funding Sources 35 5.1.1. Measure A 36 5.1.2. State Transportation Improvement Program (STIP) 37 5.1.3. Unfunded Share of RACE 37 5.2. Developer Dedications 39 5.3. TUMF Collection Target 39 6.0 Fee Calculation 40 7.0 Recommendations and Conclusion 42 7.1. Fee Adjustments and Program Updates 43 7.1.1. Annual Inflation Adjustment 43 7.1.2. Regular Program Review and Update 44 7.2. TUMF Ordinance Amendments 45 7.2.1. Horizon Year and CVATS 45 7.2.2. Trip Generation Rates 45 7.2.3. Applicability 46 7.2.4. Establishment of the Transportation Mitigation Fee 46 7.2.5. Share of Trips 46 7.2.6. Schedule of Fees 47 7.2.7. List of Projects on the Regional System 47 CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 1 June 27, 2006 APPENDICES Appendix A - SCAG 2004 RTP Model Network Plots 48 LIST OF TABLES Table 2-1 Socio-Economic Data for CVAG TUMF Study Area (2000-2030) 8 Table 2-2 Regional Highway System Measures of Performance for CVAG TUMF Study Area (2000-2030) 9 Table 3-1 Summary of 2005 RACE Update By Project 19 Table 3-2 "Maintenance Only" Projects Included in the 2005 TPPS and RACE Updates 27 Table 4-1 CVATS Model Trips 29 Table 4-2 Distribution of CVATS Model Internal -Internal Trips 32 Table 4-3 CVATS Model Trip Purposes by Fee Categories 33 Table 4-4 CVATS Model Refined Trip Purposes by Fee Categories 33 Table 4-5 CVATS Model Trip Purposes versus Fee Categories - Reassigned 34 Table 5-1 Measure A Revenue Estimate for Coachella Valley 36 Table 5-2 STIP Funding Estimate for Coachella Valley 37 Table 5-3 CVAG RACE Inflated Cost Estimate 38 Table 5-4 Unfunded Share of RACE 2005 Update 38 Table 5-5 TUMF Collection Target 39 Table 6-1 CVAG TUMF Fee Calculation 41 Table 7-1 CVAG TUMF Schedule of Fees 42 LIST OF FIGURES Figure 1-1 CVAG TUMF Boundary 4 Figure 3-1 Projects in the 2005 TPPS Update 13 Figure 4-1 CVATS Model and TUMF Collection Areas 30 Figure 7-1 Construction Cost Index Comparison 44 CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 11 June 27, 2006 1.0 INTRODUCTION In July 1989, the agencies of the Coachella Valley adopted a landmark Transportation Uniform Mitigation Fee (TUMF) program to collect a uniform development impact fee help fund construction of the regional system of roads, streets, and highways (excluding state or federal highways) needed to accommodate growth in the region. During its 15+ years of existence, the TUMF has helped to fund numerous improvement projects including arterial street construction, street widening, intersection capacity enhancements, and freeway interchange improvements. Throughout its existence the TUMF structure and policies have remained essentially unchanged. However, many roadway improvements associated with the original TUMF have been completed and plans for future development within the Coachella Valley have evolved substantially. Furthermore, the reauthorization of Measure A in Riverside County commits a significant future stream of funding to transportation improvements in the Coachella Valley. Combined with other public sources of funds, the funding mix for roadway projects in the Coachella Valley has changed substantially since the TUMF was originally adopted. To reflect the accomplishments of the original TUMF program and the continuing changes in regional growth, transportation needs and available funding, CVAG has recently completed an update of the Transportation Project Prioritization Study and the Regional Arterial Cost Estimate. The Transportation Project Prioritization Study (TPPS) and Regional Arterial Cost Estimate (RACE) each represent fundamental elements of CVAG's Transportation Uniform Mitigation Fee (TUMF) program. The TPPS identifies the arterial roadway improvements necessary to mitigate the transportation impacts of new development on the Coachella Valley and prioritizes the implementation of these improvements. The RACE determines the cost associated with implementing the roadway system improvements identified in the TPPS and therefore provides a core variable in the formula for calculating the fee level for the TUMF program. Changes in the TPPS and RACE documents that provide the underlying basis for the TUMF program have necessitated the review and update of the TUMF program to reaffirm the nexus between projected development and needed transportation system improvements. The reevaluation of the TUMF nexus also provides the opportunity to address important policy issues including consideration of a new horizon year of 2030 (based on the latest available socio-economic forecasts from the Southern California Association of Governments) and the related traffic growth attributable to new development in the Coachella Valley, and verification of the percentage ,)f improvement costs to be funded by other funding sources and developer dedications. This Nexus Study Report presents the evaluation of population and employment growth future transportation needs and the availability of traditional transportation funding sources to establish updated TUMF fee levels and program revenue collection targets This study report is intended to satisfy the requirements of California Government Code Chapter 5 Section 66000-66008 Fees for Development Proiects (also known as CVAG TUMF Nexus Study Repo, 2006 Fee Schedule Update 1 June 27, 2006 ,�ulitorrriu A sere ibly bill r 6Uu I oUU) of it le ivliligutior i Fee Hct) which goveros irnposinu development impact fees in California. Companion documents referenced in this report include the Transportation Project Prioritization Study (Katz, Okitsu and Associates, 2006), the Regional Arterial Cost Estimation (Katz, Okitsu and Associates, 2006) and the CVAG TUMF Boundary Determination (Parsons Brinckerhoff, 2005). These documents that are directly related to the 2006 Fee Schedule Update are available from CVAG. The following sub -sections provide some background information on CVAG's TUMF program including the results of the recent boundary determination and the provisions of state legislation relating to mitigation fee programs. The remaining sections of the TUMF 2006 Fee Schedule Update Nexus Study Report present the findings of the nexus study data analysis and the revised TUMF fee schedule. 1.1. TUMF Boundary Determination In cooperation with the Western Riverside Council of Governments (WRCOG), CVAG has participated in efforts to determine an appropriate .boundary between the two regions. The resultant changes in the CVAG jurisdictional boundary necessitates consideration of expanding the TUMF collection area boundary to match the new jurisdictional boundary and therefore a nexus must be established between development in this area and transportation improvements in the Coachella Valley. The CVAG TUMF Boundary Determination (Parsons Brinckerhoff, 2005) established a roughly defined area within which there exists a "reasonable relationship" between new development and traffic conditions on TUMF roadways. In short, this area includes the CVAG core, as well as outlying areas along the I-10 east, SR74 south, SR86 south, and SR 1 1 1 south corridors. The roughly defined area was identified in three analysis stages. The conclusions for each analysis stage are summarized below: • Distribution of Trips: The analysis of trip distribution based on the 1997 and 2020 origin -destination trip tables of the Coachella Valley Transportation Study Model (CVATS) model determined that areas outside the CVAG core have a relatively small contribution (<l % of all trips) to traffic in the CVATS modeling area. It also found that areas within the CVAG core were the primary contributor to trips within the core. Thus, the analysis of trip distribution found a clear nexus between areas within the CVAG core and traffic conditions on the TUMF roadways, most of which are located in the core area. It did not, however, establish a clear nexus between new development in outlying areas and traffic conditions on the TUMF roadways. • Average Trip Length/Use of Arterial Streets: The analysis of trip length and use of arterial streets supplemented the analysis of trip distribution. Based on uniform distance buffers around city borders, as wel' CVAG TUMF Nexus Study Repor 2006 Fee Schedule Update 2 June 27, 2006 JeICI led iouie specifiL time- 'fools, 1easoriable Ielatiorlship was esrablis Ieu between certain outlying areas and traffic conditions on TUMF roadways Four points located roughly at the edge of where a "reasonable relationship" could be established were identified. These four time point locations are as follows: - Time point on the 1-10 east corridor: 1-10 Frontage Road ramps (near Cactus City and the Rest Area) - Time point on the SR74 south corridor: Ribbonwood (located along SR74 near the SR371 junction) - Time point on the SR 86 south corridor: Oasis (located on the west shore of the Salton Sea) - Time point on the SR 1 1 1 south corridor: Desert Beach (located on the east shore of the Salton Sea) • Limitations to Development: Largely undeveloped areas exist between the time point locations identified in the average trip length analysis stage. These areas are of limited relevance to the TUMF program since development within them is either legally prohibited, exempt from TUMF payment, or restricted by the terrain. For this reason, a more detailed analysis of these areas was not pursued. In order to assure accurate and timely implementation of the TUMF program, it is desirable that the TUMF boundary be easily identified and understood by developers, as well as by jurisdictions responsible for fee collection. Formal boundary lines were defined based on the results of the analysis in relation to easily administered features. Good boundary devices are easily identified, stay relatively constant over time, and can be related to data collection or analysis zones in order to facilitate future analysis updates. Roads, established rivers, lakes, parcels, township lines, county lines, city borders, as well as national or state park borders are examples of easily identified devices. The rough boundary established in the nexus analysis was proximate to several easily defined features: • the Riverside County line to the north and south, • Joshua Tree National Park to the northeast, • township line 10E-11 E to the east, and • the WRCOG/CVAG border to the west. These features define the updated CVAG TUMF boundary which is depicted in Figure I 1. It should be noted that the jurisdictional border between WRCOG and CVAG is subject to further negotiation and that the location shown is based on CVAG's currently preferred option. CVAG TUMF Nexus Study Rep,, 2006 Fee Schedule Update 3 June 27, 2006 CVAG TUMF Boundary o o z 8 2. > co -.0 A.. LL m 0 ai 0 -) a, 0 P LL .. o m 2 w m cc ci.) - O c' (o G_ it -0 c c o lo ▪ Cl- U CD ...i I I • i 1— o -J • I a 1 moRiverside County Major Roads la •:t z g g 0 r. g, z zw 8 5 3 z 7 (2 er 0 z esl ii should also be rioted That the portion of the boundary coincident with the Jushuu Tree National Park border is defined as "the Joshua Tree National Park border". rather than as a specific physical location. This section of the boundary is defined as such so that it would shift to match any future revisions to the Joshua Tree National Park borders. 1.2. Measure A and the CVAG TUMF Program The CVAG TUMF program is a component of Riverside County's Measure A. Measure A is a one-half percent sales tax program that provides funding for a wide variety of transportation projects and services throughout Riverside County. It was approved by voters of Riverside County in November, 1988. Measure A was due to expire in 2009, but on Election Day 2002 a thirty year extension of the one-half percent sales tax for transportation was approved by 69.2 percent of Riverside County voters. Funds are allocated to the Western County, Coachella Valley, and Palo Verde Valley areas proportionate to the Measure A funds generated within those areas. The Coachella Valley area and the City of Blythe, located within the Palo Verde Valley area, are part of CVAG. The Coachella Valley area is defined by Measure A as located in the central part of Riverside County and including the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs, and Rancho Mirage. It also includes the unincorporated areas, and the tribal lands of the Agua Caliente Band of Cahuilla Indians, the Cabazon Band of Mission Indians, and the Torres Martinez Desert Cahuilla Indians. The Palo Verde Valley area is defined by Measure A as located in the far eastern part of Riverside County and as being geographically separated from the Western and Coachella Valley areas. It contains the City of Blythe and unincorporated portions of Riverside County. Measure A requires a TUMF program be administered for the Coachella Valley area, but not for the Palo Verde Valley area. Measure A defines TUMF as a fee that is charged on new development by local governments to assist with the building and improvement of regional arterials. Cities and the county in the Coachella Valley must participate in the TUMF program to assist in the financing of the priority regional arterial system in order to receive local Measure A funds. If a city or the county chooses not to levy the TUMF, the funds they would otherwise receive from Measure A for local streets and roads is added to the Measure A funds for the Regional Arterial Program. A portion of the Measure A revenues for the Coachella Valley area is returned to the cities and the county in the Coachella Valley to assist with the funding of local street and road improvements. These funds supplement existing federal, state, and local funds. Local street improvements adjacent to new residential and business developments are typically paid for by the developers. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 5 June 27, 2006 ,-dtlwugh rvleasure r. Ihcos beers tcuutlsoil-zsd with expiation now extended to 2039, the evaluation for the TUMF Nexus Study uses a horizon year of 2030. The use of a 2030 horizon year for the TUMF Nexus Study is primarily linked to the availability of socio- economic and travel demand forecast data needed to support the analysis. As described in Section 2.1, the most recent forecast information available for the Coachella Valley was published by the Southern California Association of Governments (SCAG) as part of the 2004 Regional Transportation Plan (RTP) update using a horizon year of 2030. To reflect the available data and for consistency with other regional transportation planning initiatives, the 2030 horizon year was also used as the basis for the TUMF nexus determination. Where future Measure A revenues are described in Section 5.1.1, the revenue estimates have been developed for the period through 2030 to remain consistent with other elements of the TUMF analysis. Measure A revenues to be generated in the period from 2030 to 2039 were not included as part of the TUMF nexus determination for this program update. 1.3. Mitigation Fee Act and Other Legal Requirements The Mitigation Fee Act, also known as California Assembly Bill 1600 (AB 1600) or California Government Code Sections 66000 et seq., governs imposing development impact fees in California. The Mitigation Fee Act requires that all local agencies in California, including cities, counties, and special districts follow some basic principles when instituting impact fees as a condition of new development. These principles are as follows: 1. Identify the purpose of the fee. (Government Code Section 66001(a) (1) ) 2. Identify the use to which the fee is to be put. (Government Code Section 66001(a)(2)) 3. Determine that there is a reasonable relationship between the fee's use and the type of development on which the fee is to be imposed. (Government Code Section 66001(a)(3)) 4. Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is to be imposed. (Government Code Section 66001 (a)(4)) 5. Discuss how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is to be imposed. (Government Code Section 66001(b)) These principles closely emulate two landmark US Supreme Court rulings that each provide guidance on the application of impact fees. The first case, Nollan v. California Coastal Commission (1987) 107 S.Ct. 3141, established that local governments are not prohibited from imposing impact fees or dedications as conditions of project approval provided the local government establishes the existence of a "nexus" or link between the exaction and the state interest being advanced by that exaction. The Nollan ruling clarifies that once the adverse impacts of development have been quantified, the local government must Theis document the relationship between the project and the CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 6 June 27, 2006 ie.ed rug ii le cui iditioi is Hiat mitigate those impacts. The ruling further clarifies trial an exaction may be imposed on a development even if the development project itself will not benefit provided the exaction is necessitated by the project's impacts on identifiable public resources. The second case, Dolan v. City of Tigard (1994) 1 14S.Ct. 2309, held that in addition to the Nollan standard of an essential nexus, there must be a "rough proportionality" between proposed exactions and the project impacts that the exactions are intended to allay. As part of the Dolan ruling, the US Supreme Court advised that "a term such as 'rough proportionality' best encapsulates what we hold to be the requirements of the Fifth Amendment. No precise mathematical calculation is required, but the city (or other local government) must make some sort of individualized determination that the required dedication is related both in nature and extent to the impact of the proposed development." The combined effect of both rulings is the requirement that public exactions must be carefully documented and supported. This requirement is reiterated by the provisions of the State of California Mitigation Fee Act and subsequent rulings in the California Supreme Court (Ehrlich v. City of Culver City (1996) 12 C4th 854) and the California Court of Appeals (Loyola Marymount University v. Los Angeles Unified School District 45 (1996) Cal.App.4th 1256). This Nexus Study report is intended to satisfy the requirements of the State of California Mitigation Fee Act. Specifically, this Nexus Study report will outline the purpose and use of the TUMF, the relationship between new development and impacts on the transportation system, the estimated cost to complete necessary improvements to the arterial street system within the Coachella Valley, and the 'rough proportionality' or `fair -share' fee for differing development types. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 7 June 27, 2006 2.0 FUTURE GROWTH AND THE NEED FOR TUMF 2.1. Future Growth Trends The most recently available demographic projections for the Coachella Valley were developed by the Southern California Association of Governments (SCAG) to support the preparation of the 2004 Regional Transportation Plan (RIP) titled Destination 2030. Adopted by the SCAG Regional Council on April 2004, Destination 2030 is "a multi - modal Plan representing (SCAG's) vision for a better transportation system, integrated with the best possible growth pattern for the Region over the Plan horizon of 2030."' The SCAG demographic projections are typically used by sub -regional agencies in Southern California as a basis for developing their own demographic forecasts. Based on the SCAG regional growth forecasts, the population of Coachella Valley is projected to increase by 366,509 in the period between 2000 and 2030, a compounded rate of approximately 2.6% annually. During the same period, employment in Coachella Valley is anticipated to grow by 128,274 or 2.4% annually. Table 2-1 summarizes the SCAG 2004 RTP socio-economic data for the Coachella Valley. Table 2-1 Socio-Economic Data for CVAG TUMF Study Area (2000-2030) 2000 2030 Change % Change % Annual Population 320,081 686,590 366,509 115% 2.6% Households 117,539 260,373 142,834 122% 2.7% Employment 127,322 255,596 128,274 101% 2.4% Source: SCAG 2004 RTP, Destination 2030, Year 2000 and Year 2030 Plan data 2.2. Future Highway Traffic To support the evaluation of the cumulative regional impacts of new development on the transportation system in Western Riverside County, existing (2000) and future (2030) traffic data were derived from the SCAG 2004 RTP Model. The SCAG years 2000 and 2030 trip tables and network files were obtained for the purpose of evaluating future traffic growth (and trip distribution) in the Coachella Valley. To quantify traffic growth impacts, traffic measures of effectiveness were calculated for each of the two scenarios. The CVAG TUMF study area was extracted from the greater regional SCAG model network for the purpose of calculating measures for Coachella Valley only. Measures for the CVAG TUMF study area included total vehicle daily miles of travel (VMT) and total VMT experiencing unacceptable level of service (LOS D or worse). These results were tabulated in Table 2-2. Plots of the Network Extents and evaluation results are presented in Appendix A. Southern California Association of Governments, Destination 2030 - Executive Summary, April 2004 CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 8 June 27, 2006 Total arterial VMT and LOS D Threshold VMT were calculated to include all arteri(:l) roadways included in the SCAG model. These roadways in the SCAG model encompass the projects included in the TPPS. Regional values for each threshold were also calculated for a total of all facilities including arterial roadways and freeways. Table 2-2 Regional Highway System Measures of Performance for CVAG TUMF Study Area (2000-2030) Measure of Performance (Dolly) I 2000 2030 Change % Change % Annual VMT - TOTAL ALL FACILITIES 5,692,310 10,474,430 4,782,120 84% 2.1% VMT - FREEWAY 2,287,250 4,184,330 1,897,080 83% 2.0% TOTAL ARTERIAL VMT 3,405,060 6,290,100 2,885,040 85% 2.1% VMT IF LOS D OR WORSE - TOTAL ALL FACILITIES 498,468 5,829,620 5.331,152 1070% 8.5% VMT IF LOS D OR WORSE - FREEWAYS 0 2,940,430 2.940,430 n/a 1 n/a TOTAL ARTERIAL VMT (IF D OR WORSE) + 6.0 498,468 2,889,190 2,390,722 480% % %OF ARTERIAL VMT WITH LOS D OR WORSE I+ 15% 46% 31% NOTES: Based on SCAG 2004 RTP, Destination 2030, Year 2000 and Year 2030 Baseline Network Scenarios. VMT = vehicle miles of travel (the total combined distance that all vehicles travel on the system) LOS = level of service (based on forecast volume to capacity ratios) The following formulas were used to calculate the respective values: VMT = Link Distance * Total Daily Volume VMT LOS D or worse = VMT (on arterial links where Daily V/C exceeded 0.62 or freeway links where Daily V/C exceeded 0.71) Notes: Arterial volume to capacity (v/c) ratio threshold for LOS D is based on the Transportation Research Board 2000 Edition of the Hiahwav Caoacitv Manual (HCM 2000) LOS Maximum V/C Criteria for Multilane Highways with 45 mph Free Flow Speed (Exhibit 21-2, Chapter 21, Page 21-3). Freeway v/c ratio threshold for LOS D is based on the HCM 2000 LOS Maximum V/C Criteria for Basic Freeway Segments with 65 mph Free Flow Speed (Exhibit 23-2. Chapter 23, Page 23-4) The calculated values were compared to assess the total change between 2000 and 2030, and the average annual change between 2000 and 2030. As can be seen from the SCAG 2004 RTP Model outputs summarized in Table 2-2, the additional traffic generated by new development in the Coachella Valley will cause congestion on the arterial roadway system to increase in the absence of additional highway infrastructure investments. Many facilities will experience a significant deterioration in LOS to unacceptable levels as a result of new development and the associated growth in traffic. According to the Hiahwav Capacity Manual (Transportation Research Board, 2000), LOS C or D are required to "ensure an acceptable operating service for facility users." The need to mitigate the impact of new development is shown by the adverse impact that new development will have on arterial roadways in the Coachella Valley. As a CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 9 June 27, 2006 i esult of the ileW developiv 6.11 i ai g'. i owih in populafioi arid ei ftplivyl i irAl i in the Coachella Valley, additional pressure will be placed on arterial roadways with the total vehicle miles traveled (VMT) estimated to increase by 85% or 2.1% compounded annually. As shown in Table 2-2, the VMT on arterial facilities experiencing LOS D or worse will increase by 480% or 6.0% compounded annually in the Coachella Valley in the period between 2000 and 2030. By 2030, almost one half of the total VMT on the regional arterial highway system is forecast to be traveling on facilities experiencing daily LOS D or worse without substantial improvements to the arterial street system. The combined influences of increased travel and worsened LOS that manifest themselves in congestion highlight the continuing need to complete the improvements recommended in the TPPS to mitigate the cumulative regional impact of new development. The SCAG 2004 RTP Model outputs summarized in Table 2-2 clearly demonstrate that the additional trips generated by future new development in the Coachella Valley will lead to increasing levels of traffic congestion, especially on the arterial roadways. The need to implement the TPPS to improve these roadways and relieve future congestion is therefore directly linked to the future development that generates the additional trips. 2.3. The TUMF Concept All new development has some effect on the transportation infrastructure in a community, city or county due to an increase in the total number of trips. Increasing usage of the transportation facilities leads to more traffic, progressively increasing congestion and decreasing the level of service. In order to meet the increased travel demand and keep traffic flowing, improvements to transportation facilities become necessary to sustain pre -development traffic conditions. The projected growth in Coachella Valley can be expected to increase congestion and degrade mobility if further investments are not made in the transportation infrastructure. This challenge is especially critical for arterial roadways that carry a significant number of the trips between cities, since traditional sources of transportation improvement funding (such as the gasoline tax and local general funds) will not be nearly sufficient to fund the improvements needed to serve new development. Developer dedications generally provide only a portion of the improvements with improvements confined to the area immediately adjacent to the respective development, and the broad -based county -level funding sources (i.e., Measure A l designates only partial revenues for arterial roadway improvements. The TUMF program establishes a uniform development impact fee to generate the revenues necessary to fully fund the implementation of the TPPS resulting in construction of the regional system of roads, streets, and highways (excluding state or federal highways) needed to accommodate growth in the region. Recognizing that some improvements within the Coachella Valley will be completed by developer dedications or using alternate funding sours &s. the TUMF program establishes the share of unfunded CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 10 June 27, 2006 ipicivecnerri C St; iri iougl; proporiloi aliiy +o the number of trips generated by rev development and assigns the fair -share fee to new developments on this basis. A sizable percentage of trip -making for any given local community extends beyond the bounds of the individual community as residents pursue employment, education, shopping and entertainment opportunities elsewhere. As new development occurs within a particular local community, this migration of trips of all purposes by new residents contributes to the need for transportation improvements within their community and in the other communities of Coachella Valley. The idea behind the TUMF program is to have new development throughout the Coachella Valley contribute equally to paying the cost of improving the transportation facilities that serve these trips within and between communities. For this reason, the TUMF revenues are used to improve transportation facilities that primarily serve trips within and between communities in Coachella Valley (primarily arterial roadways). Much, but not all, of the new trip -making in a given area is generated by residential development (i.e. when people move into new homes, they create new trips on the transportation system as they (ravel to work, school, shopping or entertainment). Some of the new trips are generated simply by activities associated with new businesses (i.e. new businesses will create new trips through the delivery of goods and services, etc.). With the exception of commute trips by local residents coming to and from work, and the trips of local residents coming to and from new businesses to get goods and services, the travel demands of new businesses are not directly attributable to residential development. The TUMF program considers the relative impacts of different sources of new trip generation by assessing both residential and non-residential development for their related transportation impacts. In summary, the TUMF concept includes the following: • A uniform fee is levied on new development throughout the Coachella Valley to mitigate the cumulative regional impacts of trips generated by new development. • The fee is assessed with rough proportionality on new residential and non-residential development based on the relative impact of each new use on the transportation system. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 11 June 27, 2006 3.0 TPPS AND RACE The Transportation Project Prioritization Study (TPPS) and Regional Arterial Cost Estimate (RACE) each represent fundamental elements of CVAG's Transportation Uniform. Mitigation Fee (TUMF) program. The TPPS identifies the arterial roadway improvements necessary to sustain mobility within the Coachella Valley. The TPPS describes the set of arterial roadway improvements to be funded by the TUMF program and other regionally available funding sources (including Measure A and State Transportation Improvement Program (STIP) funds), and prioritizes the implementation of these improvements. The RACE determines the cost associated with implementing the roadway system improvements identified in the TPPS and therefore provides a core variable in the formula for calculating the fee level for the TUMF program. The TPPS and RACE are stand alone documents updated by CVAG on a regular basis. Their most recent update was conducted as a separate study in parallel to this TUMF Boundary Determination and Fee Schedule Nexus Study. The most recent revision of the TPPS and RACE, the 2005 update, was used as the basis for this Fee Schedule Nexus Study. In addition to identifying regional arterial projects to be funded, the TPPS ranks these projects based on a project score. Figure 3-1 illustrates the location and score of each project included in the TPPS. Table 3-1 lists the cost estimate for each project as developed in the RACE process. All projects included in the TPPS and RACE total $2,602,939,252. Due to the essential nature of the TPPS and RACE in establishing the TUMF nexus and associated program fee levels, it was necessary to review the assumptions and calculations of these related studies in the context of TUMF. A few main conclusions were formed in relation to the cost estimation methodology and projects included in the TPPS and RACE, as described in the sub -sections below. 3.1. Cost Estimation Methodology The review of the RACE cost estimation methodology yielded two primary conclusions: • The RACE cost assumptions were reviewed and found to be within industry standards for the development of planning level cost estimates for a system total. • Construction and right-of-way costs have been escalating at a rapid rate in recent years. In order to maintain accurate estimates and representative fee levels, it is recommended that the RACE and resultant TUMF fee schedule be updated annually to keep pace. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 12 June 27, 2006 Figure 3-1 Projects in the 2005 TPPS Update (page 1 of 6) FS1 LEGEND: Line/Symbol Score il0 5.9 6.J - 7.9 60 99 I('Oli 9 l �.0-139 0 + CVAG TUMF 2006 Fee Schedule Update PS3A RS31 4MC1 HAM NAC2 t'r i� I� ! Lj 211I2 ' P. Teri II 'I DINS Imo_ Otis_ ----...� i 9 IND3 ✓ Figure S-1 Studied Segments and Total Scores S-24 13 1 Ncr T.• xal. M I c I r q, Nexus Study Repot; June 27, 200.- y• • 91118 • 9•Z148 91H8 bIlVM ilMno L77VAa iflWIO *'►— --ri----;orMlac eav1‘31i- 1__.._I -,. .f.• f _ EM . s :i:ct y .;^c .S : !: - i l -.¶•1 'i-, )..—. i— ''r '; : T1t 1 • i - .t , I 1 _ i ,11 • - 9.i• .i v `r •. -it I I r-� ( . (am9N71r i • Olgr. El I IMF , -, IL 1 ` '..,i ' r . 1 I I (•Th i � -r. ' i.. ! 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' .:'- • •-1k•‘':,• '-\--.\ i. .'', .i. .lC- 4S,e,,,,0i1,6m)1, \\"11-a_\.\----•.i50\C'a\•\--• • ---- hJ:----i.• -\ .:-. - ,-.\ , - 1\ et. ;..:\. \\, 7, ors 4.; , — "`"". • • • , • , ttt, %". \ - A, os • co, Jr uu. 4 0 0 is Cf SBA • SSB LEGEND: Line/Symbol Score 60 7.9 80.9.9 10.0.11.9 4> !4.0 7 Figure 3-1 Projects in the 2005 TPPS Update (page 6 of 6) 568 2t 5k 56D • 1 58c ' 59D � SSE — -3 • -. — —1; Isi r- 54A _ 51B1 I , 54C • — f— S6E 61 S4D 62E j 62F 626 Figure S-6 Studied Segments and Total Scores S-29 561 62A 62H 621 660 66A CVAG TUMF Nexus Study Repork 2006 Fee Schedule Update 18 June 27, 200e, 1 Ra'Lb'nb Hwy III Io Fl!mars. (u Ed al WIYIQwalci : hr I ar d F Nutb SF -sib° C. W W M) 0 0 L 0 44ww E .y p rc. r. 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($ SOU) 1003 SALLVV1111113 1t101 It SOU I T'101 11103 1731'Oila •111d SOOL R7wC11113 TI1O1 14O1.1d1A13330133r•Oted 3)8V0)In8 SNOf)13,11 A3N30V 1.33W01141 r»ro1lno 9\1141N 13311E stJe,IR)3 7YJ'Peleuyi, un-0Nn'8&J83OWoe1-WH'sAnidS uxed`Sd'J,esAa 1wled9ad P'Jttre017-07 'vtld1i 11101f-411 '040(o rJNl 'sAW* ICH peSea-grp ege0e00-YO'J 'AK, i,.netra'.)-:): ) (L 10 S a6od) pafad A9 3DV11 SOUP tiowwnS l-£ amol Table 3-1 Summary of 2005 RACE Update By Project (page 6 of 7) CC=t,alhaJ'ai CIy, con-Gaa1:Aela, 1*1S=Oe.wr Hof Songs, TNL .Yhdlo, 1W-rowan 4442its, LO-La Ourve PD=i'ayn Dnert, PS=Palm Sprigs, RM=Rancho Mirage, UNC-Lirincrpor1xl, CAL-Catrans BUILDABLE NAME PROJSCT NUMABBR AGENCY BACKBONE BUILDABLE PROJECT DESCRIPTION 100S r'TS. TOTAL PROD (2000 Al TOTAL CUBIULATV11t COST S20011S) AVE 50 YARNED R1,: AVE 4_ INOIO EI.V(' PORTOLA'vE AVE 48 AVE AVE 5: AVE AVE (7 BOB1I,4'E OF, GERAL(• FORD (,F' HAFidc•7rt Si • 4VE 'O11 LOl: RD 'AVE !J1 A.P84'.. THEI'RAL ',9J L'F1 'fl7'.SHII!GT•11 t ST MAD I`C4J ; T IOADI.i,cda ; T FF,ED v'4.F•I1IC; (d AVE .VEE:.. ATFFORT ELVD AVE 5.; All ;FOR i 61 Vr: /:VE 33.' A7F'PORT SLVC' rA(M INDIA; I , .vE LITTLE f IC'ROIVGQ F;C' l4OUNTl•1t3 JIFW DILI OIl76 'VARIIEF FL tdACIFt!t'A •.x.0 IEFFERS..OrJ ST VAtI el1E}E11 9T AVE 5. • AVES AVE 9.. AVE S DA VPLL Fr• '=RAF EFRL'IT E'LVC' id-21C.. E. ti7 6•258 E3-26 ` 3 26, 3-30v D.31: d-3`0 g.:44 B-352 8-113 -17E' 6.219 6.300 3-:fl'. 3.042 6.048 '188 tut 3.11E 0.11" a.119 8.13E -157 a-162 !1.15, R 171 8 18_ ?•19: 204 B-206 214 i3W E. ,104 B-a06 i4.334 6,350 CVAG TUMF 2006 Fee Schedule Update IN(t INL, 111:' PC1 i:01' ,1:0 UNC UNC FLEA 7'n • 'OA Monroe Si t0 Jackson SI katrusk SI t0 Jatk5n S1 Jacksar, SI 10 Hwy 1 7 1 Mag60sla Fan D' 10,:to 1N1y CILr Cn (8'o •_', At Wllll,,.ya14: , 11r41 Oraoe Separallcn al HVIly 11175F'RF Grano Yrparaticn HM' 111,S' FIF1 Marr06 St to Ja6I' 0 St Motu(, SI IO J3Ck0Jr oI Hatoso0 St I0 T y'6. jr Gerald Fria ioDlnan "lbfI MCnler(,y Av..:n FYftd4 Awe Avo 52 to A,'-, St • OA LINO ,OA ':C LC L�. 'ND Li. 'JNC LC 1,INC UIIP UNC 11113 UNC DNS L1H•• I!Nit 1114r l'( OHS ,NC' OOP INT. .G LO LO UNC iM ,3A Fwu a Ave 5: iR 86.3 Bl al W8'owalar Choi Hwy " 1 In F 36.3 .1-, i PI 4i :'Chr..wa L.; a , Er al'Jvr3le.,alar , too 61 41 Wrnewalar i'nry Ave5 to Av.) A (Ilya E' 311.e'..vr,ta Ev8' ' rtnl, Avo 56 to Av,; a FrOo W?ring C'r 10 I3Jn 34V0 Wasra:J10r, Si 10 Durk. Fault; Ro 341180011 to tascb0l, llr •,, Ed at }Y Aim", ', Moot% SI I3 'a3ksOn 7t la':ks,Y• S' to 11 35 rnU.', W of vex H.n..r. tit Harnson jl 1 ' T ythr '51 Tw) B,P"fx, T'e'llt, 1r to i'1N„"' (-Iv(: 141n AVe to l'1ar'3Y1 elm Two euncn FfrIms Tr 8, [,3r r, R7 HaY,'„J3 Avb I0 DIVA, rid Pao' Dr :0 M,unlar, UAW Montarev AY610 ;,haS, S-:5 c' Rc MMK4N1,1 JI..w rsd If irgrp, FLI,I, n11 to F1c, 110,0 AVa 4c' A.vo 4r IO Av'. Cn .la11ds0h SI 10 Medsu SI 'Ex, I G ,,I AH.A. Jolrars00 St In Madsen' St Mad0on SI to Monroe S' Jackson St 10 van B..sta 1 St Dean &Into lc Ramon FIO AYE, 54 •n Ale (fi 50 8.0 90 80 80 80 0 r0 80 80 80 80 70 70 70 70 70 70 70 70 70 70 70 70 7 0 '10 .0 '0 0 70 ,0 0 _0 70 70 70 70 70 , C. 70 37,13.37,sa'.) $6,66a,d40 $0 j1 t,375,760 S4,935,600 $4,374,000 $6,597,06e $6,772,206 $6,668,640 $8,219,904 $7,339,_00 $5,360,200 336,036,500 $9,897, 300 56,454,476 $1(1,660,21Y1 S8,843,'172 $0 $7,352,240 34,OJ,130 $7,812,520 $6,240,960 85,401,440 $3,5660,040 S4,746,720 $0 SS,718,240 $12,296,160 S9,468,576 $6,336,000 $1,235,52^0 S20,910.790 $0 $6,66,8,640 56,977,240 S4,498,560 S4,224,000 S6,670,182 od,457,440 $`_. i i2,000 41 :'4,: 1,1 47. T:,'40.'..:a1>' • Sr.!d9 ti ,9,: T. 41C. •4t,':1 '43,yl • i:.417,5,455: $',a,4 1a,'a7 $2.4 .94::157 43r., s.,4, 5.1., 15' A4:.'47 Nexus Study Repor 24 June 27, 200e, O 0) ✓ a v u w O L ca 0 0. W OC 8 .so AO O d • l E 9 y �c� � N) s a 75 3 g 15 Q z - 4 4 o 4 J (f 4' 5 ' a U (O 2 0 6 Wu u 0 t W J 0 O i 0 W 2 ■ 2 w 4 cr CJ 0 ci g M J o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 z _ z i = 1.1'8 _ w <'; ^ O b O C, JJ N N C•I CvV a" T n t! fL _ _ C1 6i [O .36 w w GO Q > vAIJ RI RE 4 -T O o IJ N 0 0 •r 10 J C, Q N ��po w m c�7p1 2p a W a {9 f9 V W N 0 0 0 0 0 0 0 0 0 La, Ave iP to Ramon WJ Y ` 1 Yn' `� �yy # gin 4 N N N co 4 w 3.2. Projects Included in the ?PPS and RACE In order to be consistent with California's Mitigation Fee Act, TUMF funds should not be applied towards maintenance projects. For this reason, PB reviewed the projects included in the TPPS and RACE to determine what portion of projects could clearly be categorized as maintenance projects. Maintenance projects were identified based on the Level of Improvement Standards (LOIS) used to develop construction cost estimates in the RACE. The following LOIS appear to be purely maintenance related: • RS2: Resurface existing 24' (2 lanes) • RC2-A: Reconstruct existing 24' (2 lanes). Average daily traffic less than 10,000. • RC2-AA: Reconstruct existing 24' (2 lanes). Average daily traffic greater than 10,000. • RS3: Resurface existing 36' (3 lanes) • RC3-A: Reconstruct existing 36' (3 lanes). Average daily traffic Tess than 10,000. • RC3-AA: Reconstruct existing 36' (3 lanes). Average daily traffic greater than 10,000. • RS4: Resurface existing 48' (4 lanes) • RC4-A: Reconstruct existing 48' (4 lanes). Average daily traffic Tess than 10,000. • RC4-AA: Reconstruct existing 48' (4 lanes). Average daily traffic greater than 10,000. • RS6: Resurface existing 72' (6 lanes) • RC6-A: Reconstruct existing 72' (6 lanes). Average daily traffic less than 10,000. • RC6-AA: Reconstruct existing 72' (6 lanes). Average daily traffic greater than 10,000. Table 3-2 lists projects, or components of projects, falling into one of the above LOIS categories. As can be seen at the bottom of the table, the construction cost components of these projects total $293,250,330, or 11% of the total RACE value of $2,602,939,252. Since this value is less than the "other funding sources" identified and factored into the TUMF Target Collections, as discussed in a later section, the inclusion of these maintenance projects in the TPPS and RACE does not raise a nexus issue. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 26 June 27, 2006 iable ;3•- 'Maintenance Only" Projects Included in the 2005 TPPS and RACE Updates 'Street Name AVE 44 AVE 52 AVE 52 AVE 52 CATHEDRAL CYN DR CATHEDRAL CYN DR CATHEDRAL CYN DR COOK ST COUNTRY CLUB DR CROSSLEY RD CROSSLEY RD DILLON RD DILLON RD DILLON RD DILLON RD DILLON RD E PALM CYN DR E PALM CYN DR E PALM CYN DR E PALM CYN DR E PALM CYN DR FRANK SINATRA DR FRANK SINATRA DR FRANK SINATRA DR FRANK SINATRA DR FRANK SINATRA DR FRANK SINATRA DR FRANK SINATRA DR GRAPEFRUIT BLVD HARRISON ST HARRISON ST INDIAN CYN DR INDIAN CYN DR INDIAN CYN DR INDIAN CYN DR INDIAN CYN DR INDIAN CYN DR INDIO BLVD JEFFERSON ST MILES AVE MILES AVE PALM CYN DR PALM CYN DR PALM CYN DR PALM CYN DR PALM CYN DR PIERSON BLVD PIERSON BLVD PORTOLA AVE RAMON RD RAMON RD RAMON RD RAMON RD THOUSAND PALMS RD VARNER RD VARNER RD VARNER RD VARNER RD VARNER RD VARNER RD/AVE 42 WASHINGTON ST WASHINGTON ST TOTAL TOTAL AS PERCENT OF Segment Number 44B 52H 521 52J CTHCN2 CTHCN4 CTHCNS CK8 CC3 CROSL Y3 CROSLY4 DLN1 DLN6 DLN7 DLN8 DLN9 PLCN7 PLCN8 PLCN9 PLCN10 PLCN 11 FS4 FS5 FS6 FS7 FS8 FS9 FS1 1 GRPF1 HARSNI HARSN2 INCN1 INCN2 INCN3 INCN4 INCN5 INCN6 INDIO5 JEF9 MIL3A MIL4 PLCN2 PLCN3 PLCN4 PLCN5 PLCN6 PRS3B PRS4 POR1 RAMS RAMS RAM13 RAM 14 THPL1 VRNR4 VRNR5 VRNR6 VRNR7 VRNR8A VRNR9 WSH1OA WSH10B RACE LOIS RC4-A RC4-AA RS4 RC4-AA RC4-AA RC4-AA RS4 RS4 RS4 RC4-A RC4-A RC2-A RS2 RC2-A RC2-A RC2-A RC4-AA RS4 RC4-AA RC4-AA RCA -AA RS4 RS4 RC4-AA RC4-AA RS4 RC4-A RC4-AA RC4-AA RC4-AA RC4-AA RC4-AA RS4 RS4 RS4 RS4 RC4-AA RC4-AA RC2-A 1 RC4-AA RC4-A 1 RS4 RC3-AA RC3-AA RC4-AA RC4-AA RC4-A RC4-A RS4 RC6-AA RC6-AA RC4-AA RC4-AA RC2-A RC4-AA RC2-A RS2 RS2 RS3 RC2-A RS4 RS2 Construction Cost $8,619,000 $122,100 $790,500 $111.000 $3,676,320 $4,102,560 $903,550 $448,800 $897,600 $2, 097,120 $2.154,240 $12,375,000 $1,436,310 $30,916,500 $25,072,500 $29,475.000 $5,860,800 $448,800 $8,946.600 $7,335,990 $1,748,250 $532,100 $326,400 $6.857,580 $5,033,850 $895,900 $1.300,500 $133,200 $7.326,000 $5.860,800 $5.860,800 $2,908,200 $450`500 $438,770 1,442;000 $442,000 $8,846,700 $8,791,200- $4,001.250 $4.395,600 $21692,800 $448;800- $2,013,600 12,613 _600 $3,207.900 $2,375.400 $4,039200 $9,435 _000 $897,600 $7,892,760 $7,738,000 $4,260,180 $111,000 $18,615,000 $136,530 $3.818,250 $1,235,520 $1,755,900 $686,400 $4 _680,000 $1,615_000 $1,092,600 S293,250,330 11% CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 27 June 27, 2006 4.0 TRAFFIC GROWTH ATTRIBUTABLE TO NEW DEVELOPMENT Traffic growth attributable to new development in the CVAG TUMF Collection Area is one of the two inputs which determine the TUMF Fee Schedule. Simply put, the Tl.lty collection target, described in a later section, is divided by the estimated traffic growth to develop the TUMF fee per trip. Section 4.1 describes the methodology used to estimate traffic growth. The current TUMF Fee Schedule has three rate categories: residential, retail, and non - retail or hotel. The fee for each land -use category is based on the portion of future growth attributable to each of these land -use categories. As a policy assumption, the current TUMF Fee Schedule reassigns 60% of trip growth attributable to retail to the residential category. The 60% factor was a policy decision made during the initial TUMF Nexus Study and ordinance development process. The 60% factor was reevaluated based on data from the newly updated CVATS Model and CVAG Origin -Destination Survey. Section 4.2 describes this analysis and presents the revised factor. 4.1. Determining Traffic Growth The Coachella Valley Area Transportation Study (CVATS) Model provided the most comprehensive forecast of traffic growth in the CVAG TUMF Collection Area. A model update was in process at the time of this study, and was sufficiently advanced to provide estimates of future traffic growth. Using the CVATS Model, traffic growth attributable to new development inside the TUMF Collection Area was estimated as follows: • Trip growth as forecasted by the CVATS Model was determined (Section 4.1.2) • CVATS Model forecasts were converted to project level forecasts (Section 4.1.3) 4.1.1. Background on CVATS Model The CVATS Model provides the best available quantitative estimate of travel occurring and expected to occur in the CVAG region. It is based upon estimates of socioeconomic and land use characteristics. CVAG and the Southern California Association of Governments (SCAG) maintain it jointly. The CVATS modeling area includes nine cities and neighboring unincorporated areas of Riverside County. The nine cities included in the CVATS modeling area are Desert Hot Springs, Palm Springs, Cathedral City, Rancho Mirage, Palm Desert, Indian Wells, La Quinta, Indio, and Coachella. The CVATS modeling area is divided up into numerous transportation analysis zones (TAZs) which provide the spatial unit (or geographical area) within which travel behavior and traffic generation are estimated. Most TAZs cover the "internal" CVATS modeling area, while eight of them are cordons covering the area "external" to the CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 28 June 27, 2006 1ir.:'•_.ielirij uie as follows: 1- ii_ ui illt �r?►ilk..::,; end of the Valley, I-10 at the southeast end of the Valley, SR62, SR74, SR 1 1 1, SR86. 70th Avenue, and 66th Avenue/Box Canyon Road. Figure 4-1 illustrates the extents of the CVATS modeling area. The extents of the internal TAZ borders are shown in red shading. The figure also illustrates the relationship between the CVATS modeling area and the TUMF Collection Area (as updated in 2005 during the Boundary Determination phase of this study). The CVATS Model is periodically updated to better reflect current conditions. A model update was in process at the time of this study, and was sufficiently advanced to provide estimates of future traffic growth. The updated CVATS Model used for this study produces O-D tables for a 2000 base year, and a 2030 future year. 4.1.2. Determining Trip Growth Forecasted by the CVATS Model The total traffic growth was estimated by subtracting the Year 2000 CVATS Model origin - destination (O-D) table from the Year 2030 one. The CVATS Model estimates the number of vehicle trips will grow by 2,359,605 trips between Year 2000 and Year 2030, as shown in Table 4-1. Year 2000 Year 2030 Growth (2000 to 2030) 2,143,616 56,151 Table 4-1 CVATS Model Trips Numbers of Trips Internal Internal External External to to to to Internal External Internal External 1,015,746 35,804 35,630 21,768 1,108,948 3,159,362 91,955 91,783 125,453 3,468,553 56,153 103,685 2,359,605 Internal Total to Internal Share of Trips Internal External External to to to Total External Internal External 92% 3% 3% 2% 100% 91% 3% 3% 4% 100% 90.8% 2.4% 2.4% 4.4% 100% As described above, the CVATS Model has an "internal" modeling area illustrated in Figure 4-1 and several "external" cordons that capture the contribution of external areas to traffic on CVAG roadways. The majority of new trips, 90.8%, will both start and end in the internal CVATS modeling area. The CVATS Model estimates about 4.8% of new trips to be between internal and external areas, while an additional 4.4% to pass through CVAG starting and ending in external areas. It is important to note that not all of the total traffic growth captured in the CVATS Model O-D tables will be generated by new development inside the TUMF Collection Area. It is necessary to determine this portion in order to develop an appropriate TUMF fee schedule. In other words, since the TUMF Target Collections represent improvement needs of new development inside the TUMF Collection Area, so too should the trip estimates used in conjunction with the TUMF Target Collections to develop the TUMF fee schedule. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 29 June 27, 2006 1 Figure 4-1 CVATS Model and TUMF Collection Areas TUMF Collection Area (2005 Update) — CVATS Model Area r U 0 0 a 8 r r • " w U) Figure 4-1, illustrating the correspondence between the CVATS modeling area and the TUMF Collection Area, is a key tool in isolating this portion attributable to new development inside the TUMF Collection Area. As can be seen in the figure, the CVATS internal zones roughly correspond to the CVAG TUMF Collection Area, while the CVATS external zones do not. Thus, the portion of traffic growth attributable to new development inside the CVAG TUMF Collection Area includes only those trip ends located in one of the internal CVATS zones. In other words the portion consists of both trip ends of the "internal to internal" trips and only the internal trip end of the "internal to external" and "external to internal" trips. This results in 2,143,616 plus half of 56,151 and 56,153 trips, or a total of 2,199,768 trips attributable to new development inside the TUMF Collection Area. 4.1.3. Converting Model Forecasts to Project Level Forecasts The next step in developing the necessary input for the TUMF fee calculation, was converting the number of model forecasts into trip ends or project level forecasts in order to be consistent with the TUMF implementation process. Model forecasts correspond to the total number of trips generated in the modeling region. Project level forecasts are computed for a specific development typically using trip generation rates from the Institute of Transportation Engineers (ITE) Trip Generation manual or another source. The CVAG TUMF program is implemented by computing a given development's fee obligation as follows: the fee rate is multiplied by the specific development's trip generation rate as prescribed in the ITE Trip Generation manual to yield the fee obligation for that particular trip end. Since fees are assessed on new development that could represent either end of a model forecast trip, it follows that the fee rate should be set based on trip end or project level forecasts. The total project level forecasts for a region are about twice the model level forecasts since project level forecasts are computed for each of the two trip ends of a model trip. This can best be understood with an example. Consider a trip made from someone's home to their office. The model would count this as one trip. However, the sum of the project level trip generation for the house and the project level trip generation for the office would equal two trips (i.e. one at the house end and one at the office end). Applying this simple one to two relationship between model and project forecasts, it follows that two times 2,199,768, or 4,399,536, project level trips are attributable to new development in the TUMF Collection Area. 4.2. Fee Category Share of New Trips The current TUMF Fee Schedule has three land use categories utilized to determine the fee rate: • Residential • Retail • Non -retail or Hotel CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 31 June 27, 2006 I I is i:.c ivl cll� ia ego y I, based of i the portion of ru l ure trip growth a i ti ibu table to each of them. The newly updated CVATS Model and the CVAG Origin -Destination Survey were key tools in determining the distribution of trips between the three fee rate categories. The CVATS Model breaks internal -to -internal trips down into five trip -purpose categories based on the type of land use at each of a trip's two endpoints: 1. Home -Based -Work (HBW): One trip end is a residence and the other trip end is a retail or non -retail workplace. 2. Home -Based -Shopping (HBSho): One trip end is a residence and the other trip end is a retail land -use. 3. Home -Based -School (HBSch): One trip end is a residence and the other trip end is a school (i.e. a non -retail land -use). 4. Home -Based -Other (HBO): One trip end is a residence and the other trip end is a non -retail land -use not fitting into one of the other categories. 5. Non -Home -Based (NHB): Neither trip end is the person's home. Table 4-2 shows the distribution of internal -internal trips amongst the five categories. Since trips between internal and external CVATS zones were not broken down into these five trip purpose categories by the CVATS Model, the distribution of internal - internal trips into the five categories was applied as an approximation. Year 2000 Year 2030 Growth (2000 to 2030) Table 4-2 Distribution of CVATS Model Internal -Internal Trips HBW HBSho HBSch HBO NHB Total 13% 13% 10% 29% 35% 100% 10% 16% 8% 34% 32% 100% 9% 18% 6% 37% 30% 100% The five trip purpose categories relate to the three fee categories (residential, retail, and non-retail/hotel) as shown in Table 4-3. For example, the 9% of trips that are in the Home -Based -Work category can be attributed 50% to residential because one trip end is a home, and 50% to retail or non-retail/hotel since one trip end is a retail or non -retail workplace. In other words, 4.5% can be attributed to residential and 4.5% can be attributed to either retail or non-retail/hotel. A similar logic was applied for the other categories. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 32 June 27, 2006 Table 4-3 CVATS Model frip Purposes by Fee Categories Residential Retail Non -Retail & Hotel Total HBW HBSho HBSch HBO NHB 4.5% 9% 3% 18.5% 4.5% 9% 30% 3% 18.5% 9% 18% I 6% 37% 30% To establish the distribution of trips between the three fee rate categories, the model trip purposes were refined to determine the breakdown of the Home -Based -Work and Non -Home -Based trip purpose categories between the retail and non-retail/hotel fee categories. Using the CVAG Origin -Destination Survey, this breakdown was estimated based on current travel patterns. The survey results showed that the 4.5% HBW trips attributed to retail or non-retail/hotel could be broken down 34% retail and 66% non- retail/hotel. Similarly, the survey results showed that the 30% NHB trips attributed to retail or non-retail/hotel could be broken down 35% retail and 65% non-retail/hotel. Table 4-4 shows the final correspondence after refining the trip purpose breakdowns by fee category. Table 4-4 CVATS Model Refined Trip Purposes by Fee Categories HBW HBSho HBSch HBO NHB I Total Residential 4.5% 9% 3% 18.5% 35% Retail 1.5% 9% 10.5% I 21% Non -Retail & Hotel 3% 3% 18.5% 19.5% 44% Total 9% 18% I 6% 37% 30% I 100% General policy number 7 of the original Uniform Transportation Mitiaation Fee Ordinance Report (CVAG, 1988) states "that added benefit in the form of shorter trips will accrue to residential land uses from the convenience of close -in retail/commercial development; as a result some of the retail/commercial trips should be reassigned to residential trips." Consistent with this policy, section 6 (e) of the CVAG model TUMF ordinance dated June 7, 1988 reassigned 60% of trip growth attributable to retail to the residential category. The 60% factor was a policy decision made during the initial TUMF Nexus Study and ordinance development process. The 60% factor was reevaluated as part of this study in Tight of more extensive and recent data availability. To reflect the intent of this policy, it was determined that the retail share of HBW and HBSho trips would be allocated back to the residential trip end. This methodology is consistent with NCHRP Report # 187 Quick Response Urban Travel Estimation Techniaues and Transferable Parameters User's Guide (Transportation Research Board, 1978), which details operational travel estimation techniques that are universally used for the travel demand modeling. Chapter 2 of this report states that "HBW (Home Based Work) and HBNW (Home Based Non Work) trips are generated at the households, whereas the NHB (Non -Home Based) trips are generated elsewhere." Based on this premise, the 1.5% HBW retail component, as well as the 9% HBSho retail component were reassianed to CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 33 June 27, 2006 the residential land use category. the reassigned distribution is shown in Table 4-5. As can be seen by _.ornpariny the right-hand columns of Tables 4-4 and 4-5, this translates into 50% of retail trips being reassigned to residential. More specifically, half of the 21% retail total shown in Table 4-4 was reassigned to residential leaving 10.5% of trips in the retail category. Table 4-5 CVATS Model Trip Purposes versus Fee Categories - Reassigned HBW HBSho HBSch HBO NHB Total Residential 6% 18% 3% 18.5% 45.5% Retail 0% 0% 10.5% I 10.5% Non -Retail & Hotel 3% 3% 18.5% 19.5% I 44% Total 9% 18% I 6% 37% 30% I 100% CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 34 June 27, 2006 5.0 TUMF COLLECTION TARGET Based on the TPPS and RACE document described in Secfion 3.0, the total value of needed improvements to the arterial street system in Coachella Valley exceeds $2.6 billion. However, only a portion of this amount can be attributed to improvement needs necessary to mitigate the cumulative regional transportation impacts of new development. Some of the improvements identified in the TPPS address existing transportation needs that have not been caused by the impact of new development (although new development may exacerbate the existing need). Other projects in the TPPS are for maintenance purpose only and therefore do not directly mitigate the impacts of new development. The availability of other funding sources to address existing needs and maintenance projects in addition to future capacity expansion can offset the share of improvement needs that are attributable to new development and obligated through the payment of TUMF. Developer dedications as a condition of development approvals can also result in the completion of improvements identified in the TPPS further reducing the share of the RACE allocable to the TUMF. This section of the Nexus Report will quantify the share of the arterial improvement costs that will likely be satisfied by other available funding sources and developer dedications. By accounting for the use of other funding sources to help address existing needs and roadway maintenance, and the share of the TPPS that is likely to be accomplished through developer dedications, it is possible to establish the TUMF collection target which is the rough proportion of the RACE that will be assessed through the payment of TUMF. 5.1. Other Funding Sources Section 6 (a) of the CVAG model TUMF ordinance dated June 7, 1988 prescribes that "the Uniform Transportation Mitigation Fee proceeds shall not exceed the unfunded portion of the construction cost of the regional system..." Section 6 (b) further clarifies that "the Uniform Transportation Mitigation fee is not intended to be the sole source of funding for the construction of the Regional System." Consistent with Section 6 (c) of the model ordinance, the original TUMF collection target was adjusted by 50% to account for other funding sources that would be used to implement the regional system improvements. The 50% other funding level was considered to adequately account for existing needs and other funding sources but was not quantified as part of the Nexus determination. Section 6 (c) of the model ordinance indicates that "this share may change, however, as future revisions are made to the fees." For the purpose of this update, it was determined that an estimate of the other revenue sources expected to be available for implementation of the regional system would be used as the basis for adjusting the TUMF collection target to address other funding. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 35 June 27, 2006 Measure In accordance with RCTC Ordinance No. 88-1 Riverside County Transportation Commission Transportation Expenditure Plan and Retail Transaction and Use Tax (Measure A), 35% of the sales tax revenue generated by Measure A within the Coachella Valley is allocated to CVAG for use on the Regional Arterial System. CVAG uses this revenue to complete projects included in the TPPS. With the reauthorization of Measure A and in accordance with RCTC Ordinance 02-001, commencing in Fiscal Year 2009 the share of Measure A revenues to be used for regional road improvements will increase to 50%. CVAG intends to continue to utilize this revenue for projects included in the TPPS. For the purpose of determining the share of Measure A revenues that will likely be available for completing future TPPS projects, actual Measure A revenues for the period from 1990 to 2005 were reviewed and future revenues forecast to 2030 based on the historic trend. Table 5-1 summarizes actual and estimated Measure A revenues for Coachella Valley. Table 5-1 Measure A Revenue Estimate for Coachella Valley Measure A Total Revenue for Coachella Valley FY 1990 Revenue in millions (1) FY 2005 Revenue in millions )1) Annual Revenue Growth since 1990 Estimated Revenue 2007 to 2030 in millions Ili Source: Riverside County Transportation Commission, March 3. 2006 $10.1 $33.7 8.34% $2,764.0 Measure A Allocation for Coachella Valley Regional Arterials Estimated Revenue 2007 to 2030 in millions $2,764.0 Regional Arterial Allocation through FY 2008 (2) 40% Regional Arterial Allocation FY 2009-2030 (3) 50% Estimated Allocation 2007 to 2030 in millions $1,373.8 12) Ordinance 88-1 defines that 55% of Measure A Revenues generated within Coachetla Valley will be used on State Highways and Major Regional Road Projects. The ordinance provided for "about V." 10 supplement Federal and State funds for specified State highway projects. By formula 15% of revenues is provided for this purpose with the balance (40% of total revenues) allocated to regional arterials. 13) Ordinance 02-001 defines that 50% of Measure A revenues will be used "for State highways and regional road improvements...implemented through CVAG" Between 1990 and 2005, the total Measure A revenues generated in the Coachella Valley has grown from $10.1 million to $33.7 million, a rate of approximately 8.34% compounded annually. By projecting the actual 2005 revenues at the historic annual growth rate, it is estimated that approximately $2.76 billion in Measure A revenues will be generated between 2007 and 2030. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 36 June 27, 2006 wince only a portion of the Measure A revenues are utilized for TPP, projects, the funding share prescribed by the respective RCTC Ordinances was applied to the funding total to determine the share of future Measure A revenues that will be available for TPPS projects. Of the estimated $2.76 billion in forecast Measure A revenues, approximately $1.37 billion is expected to be available for use by CVAG on TPPS projects. 5.1.2. State Transportation Improvement Program (STIP) The STIP is a multi -year capital improvement program of transportation projects on and off the State Highway System, funded with revenues from the State Highway Account and other funding sources. The California Transportation Commission (CTC) through the Caltrans Transportation Programming Division develops forecasts of future STIP funding availability and allocates funding authority to the various transportation funding agencies statewide as the basis for project programming. RCTC is responsible for administering STIP funding within Riverside County and allocates a portion of STIP funding to the Coachella Valley based on a predetermined formula. CVAG is responsible for programming STIP projects within the Coachella Valley. RCTC estimates that approximately $16.9 million in STIP funding will be available to CVAG for the period from 2007 to 2011 (approximately $3.4 annually). For the period between 2005 and 2011, Caltrans State Highway Account Revenue Assumptions indicate relevant STIP funding categories will grow by a combined rate of approximately 2.74% annually. By inflating the approximate annual CVAG STIP funding share by the combined funding growth rate, it is estimated that approximately $112.9 million in STIP funding will be available to CVAG between 2007 and 2030 for use on TPPS projects. Table 5-2 summarizes the STIP funding estimate for CVAG. Table 5-2 STIP Funding Estimate for Coachella Valley STIP Available Funding for Coachella Valley FY 2007-2011 Estimated New Capacity Funding in millions r1r FY 2007 Proportionate Annual Share in millions Forecast STIP Annual Revenue Growth FY 2005 - FY 2011 (2) Estimated STIP Allocation 2007 to 2030 in millions (i( Source: Riverside County Transportation Commission, March 9, 2006 (2) Source: Caltrans 2006 STIP FE Assumptions Book, May 26, 2005 5.1.3. Unfunded Share of RACE $16.9 $3.4 2.74% $112.9 j To determine the other funding share of the RACE, it was necessary to escalate the total cost to improve the regional arterial system to account for cost inflation. Inflation of the RACE value was necessary to enable a fair comparison between future TPPS improvements costs and the anticipated future Measure A and STIP funding sources forecast based on expected growth. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 37 June 27, 2006 f.;a;ed on the C:;V; RAL,E 2uu5 Update, the total cost to implement the fPPS is $2.60 billion including $2.29 in construction costs and $317 million in right of way (ROW) costs. A review of the Engineering News Record (ENR) Construction Cost Index indicates that construction costs have increased at a rate of approximately 3.07% annually between 1990 and 2005, while the July 25, 2005 Coachella Valley Economic Report indicates the median resale price of an existing single family home has increased 6.71% annually between 1990 and 2004. Based on these rates for inflation of construction and ROW costs, respectively, Table 5-3 summarizes the inflated total cost estimate for the 2005 RACE. Table 5-3 CVAG RACE Inflated Cost Estimate RACE Total Construction Cost in 2005 (in millions) Annual Change in Construction Cost since 1990 Inflated Construction Cost Estimate 2007-2030 RACE Total ROW Cost in 2005 (in millions) Annual Change in Housing Cost since 1990 Inflated ROW Cost Estimate 2007-2030 RACE Total Cost Estimate in 2005 (in millions) Inflated Total Cost Estimate 2007-2030 (in millions) $2,286 3.07% $3,372.9 $317 6.71% $806.9 $2,603.0 $4,179.8 A comparison of the inflated RACE value to the total estimated revenues from Measure A and STIP sources is provided in Table 5-4. As shown in Table 5-4, approximately 35.6% of the RACE inflated cost estimate is expected to be available from Measure A and STIP funding sources. Consistent with the TUMF model ordinance Section 6, the remaining 64.4% of the estimated cost to improve the regional arterial system will need to come from the TUMF program or developer dedications. Table 5-4 Unfunded Share of RACE 2005 Update CVAG Revenue Share of RACE 2005 Update Value Share RACE Inflated Total Cost Estimate 2007-2030 (in millions) $4,179.8 I Estimated Measure A Allocation 2007 to 2030 (in millions) $1.373.8 32.9% Estimated STIP Allocation 2007 to 2030 (in millions) $1 12.9 2.7% I Subtotal Other Available Revenue Sources $1,486.6 35.6% I Unfunded Share of RACE Inflated Cost Estimate $2,693.2 64.4% The TUMF program is intended to mitigate the cumulative regional transportation impacts of new development and therefore is not intended for use on maintenance projects or other existing needs. By dedicating regional Measure A and STIP funds toward the total cost to improve the regional arterial system, CVAG is able to demonstrate a substantial financial commitment to address existing needs and maintenance projects incorporated in the TPPS. As indicated in Section 3.2 of this CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 38 June 27, 2006 , e,pori, the tofa► ,_ i,t,i of r ►rjir►t .•nance only projects included in the TPPS is approximately 1 1 % of the total RACE value. By comparison, Measure A and STIP funding will contribute over 35% of the value to complete the TPPS by 2030. 5.2. Developer Dedications Section 6 (d) (2) of the CVAG TUMF model ordinance indicates that CVAG will "establish an estimate of the value of customary developer dedications to the extent they have been included in the total cost of the regional system." Dedications are right of way and/or completed roadway segments that are required to be completed by developers as part of their development approvals. This estimated value of developer dedications is used as the basis to offset the TUMF collection target. The reduction of the TUMF collection target to account for developer dedications is intended to provide appropriate program 'credit' to developers for completing actual improvements to the arterial system. During the original Nexus development, CVAG determined that 25% of the total regional system cost represented the value of customary developer dedications as conditions of development approval. Ongoing experience with the TUMF program has indicated that the 25% factor is fair and adequate to reflect the value of developer dedications. CVAG has determined that it will continue to apply this factor as the basis for reducing the TUMF collection target. 5.3. TUMF Collection Target Having determined the share of the regional arterial system improvement costs that will be derived from Measure A and STIP funding sources, and the value of improvements that will be accomplished by customary developer dedications, it is possible to establish the TUMF collection target. The TUMF collection target is the second key variable needed to determine the TUMF program Fee Schedule. Table 5-5 summarizes the adjustment of the total cost outlined in the CVAG RACE 2005 Update as the basis for establishing the rough proportion of improvement costs allocable to new development through TUMF. As indicated in Table 5-5, the total cost to fully fund the TPPS is adjusted by 35.6% to reflect estimated available other funding sources and 25.0% to reflect customary developer dedications. The remaining unfunded balance of $1.65 billion is the inflated value of arterial system improvements that would need to be derived from TUMF revenues to fully fund the TPPS. Table 5-5 TUMF Collection Target Fully Funded TPPS Collection Target Values Inflated RACE Total Cost Estimate 2007-2030 (in millions) Estimated Available Measure A/STIP Revenues Estimated Customary Developer Dedications Remaining Balance (Inflated TUMF Collection Target) Value $4,179.8 $1, 486.6 $1,045.0 $1,648.2 Share 00.0% 35.6% 25.0% 39.4% CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 39 June 27, 2006 6.0 FEE CALCULATION The fee amounts that will need to be collected to mitigate the cumulative regional impacts of new development on the arterial street system in the Coachella Valley are quantified in this section. The calculation of the TUMF program fees follows the basic methodology that was utilized to establish the original fee schedule in 1988 yielding a fee per trip for three land use categories. As described in Section 3.0, the total present day cost to fully implement the TPPS (as presented in the RACE) is $2.60 billion. For the purpose of calculating the fee, the total RACE value is adjusted to reflect the availability of other funding sources and the value of customary developer dedications. Having accounted for other funding sources and developer dedications in Section 5.0, the share of the total RACE value that will be attributed to new development is 39.4%. At this level, the TUMF collection target to fully fund the implementation of the TPPS is approximately $1.03 billion in present day dollars. The total trips resulting from new development are divided between the three fee land use categories in the next step of the fee calculation. Based on the distribution of trips by purpose obtained from the CVATS model, it was determined that 35% of the new trips would have a residential based trip end, while 21% would have a retail/commercial trip end and 44% would have a non -retail or hotel trip end. The resultant trip values are used as the denominator in the equation to determine the respective fee levels per trip for each land use category. The numerator for the final fee calculation is the share of the TUMF collection target that is considered to be attributable to the particular land use category. As described previously, CVAG policy establishes that the added benefit in the form of shorter trips will accrue to residential land uses from the convenience of close -in retail/commercial development and therefore some of the retail/commercial trips should be reassigned to residential trips. Based on the evaluation of trip purposes derived from the CVATS model, the retail trip end of retail related home based work trips and all home based shopping trips are reassigned to the residential land use. Table 6-1 presents the TUMF Fee calculation following the steps described above. Table 6-1 indicates the resultant fees for the CVAG TUMF are $303 per trip for residential land uses, $117 per trip for retail/commercial land uses, and $233 per trip for non -retail and hotel land uses. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 40 June 27, 2006 Table 6-1 CVAG TUMF Fee Calculation ITEM DESCRIPTION PART I: TUMF COLLECTION TARGET VALUE SOURCE OR FORMULA $2,602 y39,252 a:' B Share of Cost to be Funded by Other Sources 35.6% Table 5-5 C Portion of Cost to be Funded by Other Sources $926,646,374 C=A*B D Share of Cost Attributable to Developer Dedications 25.0% Table 5-5 E Portion of Cost Attributable to Customary Developer $650,734,813 E=A*D Dedications F TUMF Collection Target $1,025,558,065 F=A-C-E PART II: NEW PROJECT LEVEL TRIPS G Total New Average Weekday Trip Ends 4,390,536 Section 4.1.3 (CVATS 200S Update) K New Average Weekday Residential Trip Ends 1,539,838 K=G*H L New Average Weekday Retail/Commercial Trip Ends 923,903 L=G*I M New Average Weekday Non -Retail & Hotel Trip Ends 1,935,796 M=G*J PART III: COST ATTRIBUTABLE TO LAND USE CATEGORY N Shore of Cost Attributable to Residential 45.5% O Share of Cost Attributable to Retail/Commercial 10.5 o Table 4-4 P Share of Cost Attributable to Non -Retail & Hotel 44% Q Portion of Cost Attributable to Residential $466,628,920 Q=F*N R Portion of Cost Attributable to Retail/Commercial $107,683,597 R=F*O S Portion of Cost Attributable to Non -Retail & Hotel $451,245,549 S=F*P PART IV: FEE PER TRIP T Residential Fee per Trip $303 T=Q/K U Retail/Commercial Fee per Trip $117 U=R/L ✓ Non -Retail & Hotel Fee per Trip $233 V=S/M NOTE: Shaded rows are inputs or policy assumptions. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 41 June 27, 2006 7.0 RECOMMENDATIONS AND CONCLUSION Based on the results of the Nexus Study evaluation, it has been possible to determine a reasonable relationship between the cumulative regional impacts of new land development projects in the Coachella Valley on the arterial roadway system and the need to mitigate these transportation impacts using funds levied through the TUMF program. The reasonable relationship between the impact of new development and the need for the TUMF can be summarized as follows: • The Coachella Valley is expected to continue to grow as a result of new residential and non-residential development in the future. • The continuing residential and non-residential growth of the Coachella Valley will result in increasing congestion on arterial roadways due to the impact of newly created trips and traffic demand. • Future arterial roadway congestion is directly attributable to the cumulative regional transportation impacts of future development in the Coachella Valley. • Capacity improvements to the arterial roadway system will be needed to mitigate the cumulative regional impacts of new development. • Revenues from other established funding sources (including Measure A and STIP funds) and developer dedications will not be sufficient to address all the arterial roadway improvements needed to mitigate the impacts of new development. • The arterial roadway improvements identified in the TPPS are arterial roadway facilities that will provide additional capacity to help mitigate the impacts of new development and merit inclusion for funding improvements through this fee program. The Nexus Study evaluation has established a proportional "fair share" of the improvement cost attributable to new development based on the availability of other funding sources and improvements to be completed through developer dedications. Furthermore, the Nexus Study evaluation has divided the fair share of the cost to mitigate the cumulative regional impacts of future new development in the Coachella Valley in rough proportionality to the trips that will be generated by future residential and non-residential development. The respective fee allocable to future new residential and non-residential development in the Coachella Valley is summarized in Table 7-1. Table 7-1 CVAG TUMF Schedule of Fees Land Use Category Fee per Trip Residential $303 Retail/Commercial $117 Non -Retail & Hotel $233 CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 42 June 27, 2006 i. I. Fee Adjustments and Program Updates 7.1.1. Annual Inflation Adjustment Section 12 of the CVAG model TUMF ordinance dated June 7, 1988 includes provisions that provide for an annual review and adjustment of the TUMF schedule of fees to account for cost inflation. To ensure the TUMF program revenues are adequate to accomplish the improvements recommended in the TPPS, it is appropriate to regularly adjust the underlying cost assumptions to reflect inflation. Specifically, the project costs identified in the RACE should be adjusted annually to reflect the influence of right-of- way and construction cost inflation. Based on the revised improvement cost information, the TUMF Schedule of Fees can be recalculated and the fees adjusted accordingly to sustain the value of the program. As the basis for completing an annual inflationary adjustment to the TUMF program, it is recommended that CVAG utilize separate indices for right-of-way and construction costs. By applying the respective index for right-of-way and construction costs, CVAG can adjust the project cost values presented in the RACE and summarized in Table 3-1 of this report. The resultant total cost value can then be used as the basis for recalculating the TUMF Schedule of Fees as presented in Table 6-1. For right-of-way cost adjustments, CVAG should utilize the "Existing Home Price Trend for Coachella Valley" as presented in the Coachella Valley Economic Report compiled for the Coachella Valley Economic Partnership (Exhibit 31 in the July 25, 2005 version of the report). The Existing Home Price Trend for Coachella Valley is developed from information compiled by the National Association of Realtors (NAR) to track the median sales price of existing single family homes in metropolitan areas across the country. The median sales price of existing single family homes represents the most widely available index of property values providing a relative measure of property values in a given area over time. Although the acquisition of right-of-way may involve some properties other than existing single family homes, this index provides a reasonably concise and readily accessible source of data reflecting the overall trend in land values. For construction costs, CVAG should utilize the Engineering News Record (ENR) Construction Cost Index (CCI). The ENR CCI represents the most widely accepted standard index for assessing changes in construction material and labor costs over time based on a monthly survey of the largest metropolitan markets in the United States. ENR builds its construction cost index by developing a twenty city average of the combined costs for labor and various common construction materials. The use of the national ENR CCI represents a more stable index over time by reducing the influence of local short term fluctuations in the supply of materials and labor. The application of a more stable index for adjusting cost values is recommended to reduce the potential for erratic fluctuation in the TUMF Schedule of Fees as part of the annual adjustment. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 43 June 27, 2006 Figure 7-1 compares the ENR CCI with the Caltrans Highway CCI and the FHWA Price Trends Composite Index frorn 1985 to 2005. The comparison of the three indices illustrates the greater stability of the ENR CCI over a twenty-year time frame compared to the remaining two indices. Figure 7-1 also includes linear trend lines for both the ENR CCI and the Caltrans Highway CCI. As can be seen in the graph, the linear trend for the two indices is almost identical despite the greater volatility of the Caltrans index. Figure 7-1 Construction Cost index Comparison R-*-ENR CCI !trans CCI-s--FHWA PTCI 8.000 - 7.000 - - 6.000 -- 1.000 -- — 0 1 ! 1 1 ' I 1 Linear (ENR CCI) linear (Caltrans CCI) 300 250 a_ d 200 Q 150 100 - 50 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 20002001 2002 2003 2004 2005 Year Sources. ENR CCI- E nyneenng Nees R eoordCors traction Cost Inctu History Cdtro sCCI-StoteofCdfornoDeparmen?ofTrasportdionHipnorCorstruiionCostIndex FHWAPTCI-Fe ciHigM.orActrinstrctionPnoel r xtCormsIto Indsoc To facilitate the annual adjustment of the TUMF Schedule of Fees, it would be appropriate for CVAG to establish a schedule of specific milestone dates for the annual adjustment process to correspond with local jurisdiction budget approval cycles. Key milestones may include determination of the respective indices, recalculation of the fee schedule, adoption of the revised schedule of fees by CVAG and final implementation of the updated fee schedule by the local jurisdictions. 7.1.2. Regular Program Review and Update Section 66001 (d) of the Mitigation Fee Act requires that a comprehensive review of a mitigation fee program be completed at (east every five years. While section 12 (c) of the CVAG model TUMF ordinance dated June 7, 1988 introduces elements of the statutory requirements relating to timely expenditure of TUMF revenues, CVAG needs to establish a process for the regular comprehensive review and update of the TUMF program. The comprehensive review is intended to reaffirm the purpose. of the fee and CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 44 June 27, 2006 r1i lec,onable :elotronship between the tee and the purpose for which it is being charged, and to reassess the program's financial status to ensure the designated improvements can be fully funded. The comprehensive review also provides the opportunity to update the program to respond to changing needs within the area. In particular, successive updates provide the opportunity to utilize the latest available demographic and travel demand forecast information for the area to reflect changing rates and patterns of development. By responding to changing development trends, the program can be adjusted as necessary to adequately address the improvement needs resulting from changes in development activity. In accordance with the provision of the Mitigation Fee Act, it is recommended that CVAG undertake a comprehensive review and update of the TUMF program within five years of the date of adoption of this Nexus Study. In addition to meeting the intents of the Mitigation Fee Act by reaffirming the rational nexus for the TUMF program, CVAG should use the comprehensive review and update as an opportunity to reevaluate the program within the context of changing development patterns and improvement needs. 7.2. TUMF Ordinance Amendments Changes to key assumptions, methodology and findings of the CVAG TUMF Nexus as presented in this report will necessitate amendments to the respective local TUMF ordinances to ensure consistency. The following section summarizes necessary changes to the TUMF ordinances based on a review of the CVAG model TUMF ordinance dated June 7, 1988. 7.2.1. Horizon Year and CVATS Various sections of the Model Ordinance will need to be amended to refer to the new horizon year 2030 which supercedes the original horizon year of 2010. Furthermore, the Model Ordinance refers to the 1987 Coachella Valley Area Transportation Study (CVATS) as the basis for the horizon year and for determining the extent to which new development will generate traffic. Such references will need to be amended to reflect the current methodology for establishing the TPPS. In particular, Sections 1 (a), 2 (b), 3, 3 (a), 3 (b), 3 (c), 3 (d), 3 (f), 4 (c), 6 (e), and 15 include references to CVATS or the horizon year 2010. 7.2.2. Trip Generation Rates Section 4 (e) of the CVAG model TUMF ordinance dated June 7, 1988 references the Institute of Traffic Engineers (ITE) Trip Generation Third Edition as the basis for determining trip generation rates for fee calculations. The current version of the ITE Trip Generation Seventh Edition (published in 2003) should be referenced as the basis for fee calculations. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 45 June 27, 2006 7.2.3. Applicability Section 5 of the CVAG model TUMF ordinance dated June 7, 1988 indicates the provisions of the ordinance shall take effect on January 1, 1989. Subsequent to the update of the program Nexus Study and the proposed amendments to the respective ordinances, it will be necessary to establish a new effective date in accordance with the desired time frame for implementation of the new schedule of fees. 7.2.4. Establishment of the Transportation Mitigation Fee Section 6 (c) of the CVAG model TUMF ordinance dated June 7, 1988 indicates that one-half of the cost of the regional system will be attributable to new development although this amount may change as future revisions are made to the program. Consistent with Section 6 (c) of the model ordinance, the original TUMF collection target was adjusted by 50% to account for other funding sources that would be used to implement the regional system improvements. The 50% other funding level was considered to adequately account for existing needs and other funding sources but was not quantified as part of the original Nexus determination. For the purpose of this update, an estimate of the other revenue sources expected to be available for implementation of the regional system was prepared as the basis for adjusting the TUMF collection target to address other funding. As described in Section 5.1 of this report, approximately 35.6% of the total cost to implement the TPPS was determined to be available through existing revenue sources including Measure A and STIP. This amount is considered to adequately account for existing needs on the regional system and therefore was used as the basis for adjusting the Total System Cost in the fee calculation. Reference to the one-half cost adjustment in Sections 6 (c), 6 (d) (1) and 6 (d) (3) of the Model Ordinance needs to be amended to be consistent with the revised fee calculation methodology. 7.2.5. Share of Trips Section 6 (e) of the 1988 Model Ordinance reassigns 60% of trip growth attributable to retail to the residential category. The 60% factor was a policy decision made during the initial TUMF Nexus Study and ordinance development process. To better quantify the influence of residential land uses on retail trip generation, the 60% factor was reevaluated as part of the Nexus Study update. As presented in Section 4.2 of this report, the share of trips between residential, retail and non -retail land uses was calculated based on data from the newly updated CVATS Model and CVAG Origin - Destination Survey. For the purposes of the fee calculation, 45.5% of the system cost was determined to be attributable to residential development, while 10.5% was determined to be retail and 44% was determined to be non -retail. Reflecting the intent of the original policy decision, the calculation of the share of trips effectively resulted in 50% of the retail trips being attributable to residential land uses. The relevant provision of the Model CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 46 June 27, 2006 Ordinance needs to be amended to be consistent with the revised share of trips methodology. 7.2.6. Schedule of Fees Section 6 (h) of the 1988 Model Ordinance presents the schedule of fees on a per trip basis for each of the applicable land use categories. The schedule of fees needs to be amended to reflect the revised schedule of fees presented in Table 7-1. 7.2.7. List of Projects on the Regional System Appendix B of the 1988 Model Ordinance included a list of projects on the regional system to be implemented under the auspices of the TUMF program. The 2005 update of the TPPS establishes the list of projects as the basis for this Nexus Study update. The TPPS list of projects needs to be included by reference in the Model Ordinance superceding the list of projects contained in the original Appendix B. CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 47 June 27, 2006 APPENDIX A - SCAG 2004 RTP Model Network Plots CVAG TUMF Nexus Study Report 2006 Fee Schedule Update 48 June 27, 2006 YEAR 2000 N Z >. Z uu- O rt >OWO O440 O 0 W Z U OC a. OZOZ QOZu_ J CL N >Q0 5Zz N W _ H W 4 � U 0 _ 0 L COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS TRANSPORTATION UNIFORM MITIGATION FEE YEAR 2000 SCAG NETWORK - CVAG AREA ONLY BY DAILY VOLUME N Daily Volume Daily Volume < 10,000 Daily Volume >= 10,000 and Daily Volume < 20,000 Daily Volume >= 20,000 and Daily Volume < 30,000 Daily Volume >= 30,000 and Daily Volume < 40,000 Daily Volume >= 40,000 and Daily Volume < 50,000 Daily Volume >= 50,000 viper Based on SCA'. 20(4PTF Printed 5/2.. I2i-!( H O w • w J N ccU. 0 0 2 QQa u. S2 La O F-Qix z o O I Q a0re=F. LL}lO(�IX JQ >00w ZNO La c.i4w� Q 0 • V 0 O o 0 O N - II ✓ A oa)CD o E E o O O 0 N ri . Eao 0 r u 6 i u_ 0 m ui 00 J J YEAR 2030 BASELINE a 1 1 J i 1 1 1 1 l } U) -� z 0 2 LIJ W W ZUW.Q W Z O • < > V O F=YW 0I 0 z>- N = 0J ,Zt- QZUQ Oy J<Z J F- >aN N Q z co W < o 'Q�N O < V W • v � o ▪ o N 0 tl b CV N C�-0 O c d 0 a) 1n O 000 0 0 0 0 N Celc� ✓ VVV m CD EEEE 0 • 0 0 0 >> >> o • oaa '0-0Z7 c c c c camasca o O Q 0 0 000 001 000000 °-00000 o N M 11 it 11 II II ✓ AA A A A E• EEEEEI > • > > > > > • T T >. 7+ T Printed 5/2'3/2000 coo v v U v v ✓ • N co >po • 3 CU CD U- lL o O o N (ND O V V • > > � � c9 r- C (NO CO Q O O O U c C O O cu m¢Q a)• QO W O 000 J J J a) J O' O A 0 IL 0 -J 6 a IN ,a / I 1/1 r �( ham- 0 Cc'cv 0 it N U c d 0 a> 0 0 0 00 00 O N N 11 V h O N > >, >. ai (0 (0 EO 0 6 1 RESOLUTION NO. 06-143 EXHIBIT "B" PUBLIC HEARING NOTICE ,t+.-v•--ii'vc. !1 • "L . CI I 'b OF PALM UESER I NOTICE OF PUBLIC HEARING - TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) NOTICE IS HEREBY GIVEN that the City Council of the City of Palm Desert, California, will hold a public hearing in the City Council Chamber, Palm Desert City Hall, located at 73-510 Fred Waring Drive, Palm Desert, at an Adjourned Regular City Council Meeting on Tuesday, October 31, 2006, at 1:00 p.m. to consider the following: 1. Proposed increase of the Transportation Uniform Mitigation Fee (TUMF) imposed on new development projects within the City for the purpose of mitigating the impacts such new development will have on the regional system of roads, streets, and highways; and 2. Modification of the TUMF jurisdictional boundaries. The Transportation Uniform Mitigation Fee, 2006 Fee Schedule Update, Nexus Study Report, prepared by Parsons Brinckerhoff, and dated June 27, 2006, which provides details concerning the purpose of TUMF and the amount of fees to be imposed, is available to the public for review during regular business hours at the Office of the City Clerk, 73-510 Fred Waring Drive, Palm Desert, California. The City of Palm Desert encourages interested parties to attend public meetings and comment on the issues being discussed. If you wish to provide testimony and are unable to attend the meeting, written comments delivered to the City Clerk's Office prior to the time of the hearing will be made a part of the public record. Failure to submit information to the City regarding this matter prior to or at the public hearing may preclude you from later raising such issues in any court proceeding to challenge the City's action on this item. Questions regarding this matter should be directed to Mark Greenwood, Director of Public Works, at (760) 346-06'i 1. Dated this .i i"' day of October, 2006. • k. r'F P,'1-M DESERT, Ct .l_tFOP`.11 r, ity ui F'alrct Desert c !h I fl Fri V./11 'r•in' i-tr ra,z r rao OL nipp19 9h] RESOLUTION NO. 06-143 EXHIBIT "C" TUMF FORMULA FOR FEES TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) FORMULA FOR FEES Fee Per TUMF Fee Daily Trip Average Per Land - Code TUMF Land Use Generation Unit Daily Trip Use Unit Rate Code $ $ 1411 Commercial Airport 1411 General Aviation Airport I - TERMINAL 104.73 K 148 1.97 K 148 II - INDUSTRIAL 15,500.04 291.56 1310 Industrial/Automotive 6.97 A 148 1,031.56 Repair (compute both, or use the highest) 51.80 D 148 7,666.40 1315 Wind Turbines/Antennas 6.97 N 148 1,031.56 1340 Mini -Warehousing 2.50 A 148 370.00 III - RESIDENTIAL 1110 Single Family Detached 9.57 B 192 1,837.44 1120 Multi -Family (Also Time- 6.72 B 192 1,290.24 Share Units, Condos 1130 Mobile Home Park 4.99 B 192 958.08 1252 Congregate Care Facility 2.15 B or G 192 412.80 (compute both, use the highest) IV - LODGING 1233 Lodging (Ancillary Uses - 7.27 C 148 1,075.96 50% of individual rate) TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) FORMULA FOR FEES Fee Per TUMF Fee Daily Trip Average Per Land - Code TUMF Land Use Generation Unit Daily Trip Use Unit Rate Code $ $ V - RECREATIONAL 1232.0 Indoor Recreational Facility 37.64 A 148 5,570.72 1232.1 Bowling Center 33.00 0 148 4,884.00 (compute both, use or the highest) 333.30 D 148 49,328.40 1232.2 Outdoor Recreational Facility 90.38 D 148 13,376.24 1232.3 Race Track/Stadium 38.17 D 148 5,649.16 1810.0 Golf Course 5.04 D 148 745.92 1232.4 Live Theater 0.10 E 148 14.80 1232.5 Movie Theater 1.76 E 148 260.48 1232.6 Recreation Courts 38.70 M 148 5,727.60 VI - MEDICAL 1244 Hospitals 17.57 A 148 2,600.36 1252 Nursing Home ** (See Conditional Waiver of TUMF) 2.37 G 148 350.76 VII - OFFICE 1210 Office Building 35.05 A 148 5,187.40 TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) FORMULA FOR FEES Fee Per TUMF Fee Daily Trip Average Per Land - Code TUMF Land Use Generation Unit Daily Trip Use Unit Rate Code $ $ VIII - RETAIL/SERVICES 1200.00 Retail/Services (per 1,000 square feet) 1200.01 0 to 75 76.81 A 74 5,683.94 1200.02 75.001 to 76 76.43 A 74 5,655.82 1200.03 76.001 to 78 75.68 A 74 5,600.32 1200.04 78.001 to 80 74.97 A 74 5,547.78 1200.05 80.001 to 82 74.28 A 74 5,496.72 1200.06 82.001 to 84 73.61 A 74 5,447.14 1200.07 84.001 to 86 72.96 A 74 5,399.04 1200.08 86.001 to 88 72.33 A 74 5,352.42 1200.09 88.001 to 90 71.73 A 74 5,308.02 1200.10 90.001 to 92 71.14 A 74 5,264.36 1200.11 92.001 to 94 70.56 A 74 5,221.44 1200.12 94.001 to 96 70.00 A 74 5,180.00 1200.13 96.001 to 98 69.46 A 74 5,140.04 1200.14 98.001 to 100 68.93 A 74 5,100.82 1200.15 100.001 to 120 64.34 A 74 4,761.16 1200.16 120.001 to 130 62.42 A 74 4,619.08 1200.17 130.001 to 140 60.68 A 74 4,490.32 1200.18 140.001 to 150 59.10 A 74 4,373.40 1200.19 150.001 to 160 57.66 A 74 4,266.84 1200.20 160.001 to 170 56.34 A 74 4,169.16 1200.21 170.001 to 180 55.12 A 74 4,078.88 1200.22 180.001 to 190 53.98 A 74 3,994.52 1200.23 190.001 to 200 52.93 A 74 3,916.82 1200.24 200.001 to 210 52.04 A 74 3,850.96 1200.25 210.001 to 220 50.66 A 74 3,748.84 1200.26 220.001 to 240 48.24 A 74 3,569.76 1200.27 240.001 to 260 46.20 A 74 3,418.80 1200.28 260.001 to 280 44.45 A 74 3,289.30 1200.29 280.001 to 300 42.94 A 74 3,177.56 1200.30 over 300 42.94 A 74 3,177.56 TRANSPORTATION UNIFORM MITIGATION FEE (TUMF) FORMULA FOR FEES Fee Per TUMF Fee Daily Trip Average Per Land - Code TUMF Land Use Generation Unit Daily Trip Use Unit Rate Code $ $ IX - MISCELLANEOUS RETAIL SERVICES 1225.0 Outdoor Materials/ 96.21 D 74 7,119.54 Garden Center 1223.0 New/Used Car Sales 33.34 A 74 2,467.16 (compute both, use or the highest) 210.50 0 74 15,577.00 1223.1 Rental Car Center 5.73 P 74 424.02 1222.0 Service Stations 168.56 H 74 12,473.44 1223.2 Convenience Market 845.60 A 74 62,574.40 1226.0 Coin -Operated Car Wash 16.60 I 148 2,456.80 1226.1 Full Service Car Wash 273.00 D 148 40,404.00 1261.0 Day -Care Center ** 4.48 F 148 663.04 (see Conditional Waiver of TUMF) 1267.0 Private Schools ** 1.50 F 148 222.00 (see Conditional Waiver of TUMF) X - STAND ALONE RESTAURANT (On own site with own parking lot) 1281 Low Turnover 89.95 A 74 6,656.30 Restaurant/Night Club 1282 High Turnover Restaurant 127.15 A 74 9,409.10 1283 Fast Food Restaurant 606.06 A 74 44,848.44 XI - FINANCIAL 1290 Financial Institutions 201.49 A 148 29,820.52