CCP111 Fair Share PolicyCITY OF SAN JUAN CAPISTRANO
COUNCIL POLICY
Subject: Effective Policy
Page Date Number
"FAIR SHARE" METHODOLOGY
& DEVELOPER REIMBURSEMENTS 1 of 2 3/17/98 111
This policy of the City Council shall establish the method for determining developers'
"Fair Share" improvement costs and reimbursements.
The purpose of the "Fair Share" policy is to equitably distribute costs for
infrastructure development among future development creating the need for those
improvements within the City. The "Fair Share" policy shall not apply to improvements
outside the City limits. Systems Development Tax should not be utilized to subsidize new
development as its intent is to offset the City's cost for the existing infrastructure (M.C.
Section 3-3.501). To this end, the following guidelines are established to provide a more
equitable distribution of costs.
1. Construction and/or costs of all improvements immediately adjacent to or
improvements which directly support a particular development or developments (i.e.,
signalization of a driveway entrance) shall be borne 100% by the development(s)
and shall not be eligible for "Fair Share" compensation.
2. All off-site improvements will be "Fair Shared" based on the following criteria:
a. The developer's "Fair Share" for each particular link or at each particular
intersection will be that percentage of costs based on the ratio of traffic
generated by the project to the total future projected peak hour traffic
generation from potential development within the City at that particular
location.
b. Existing traffic will be subtracted out and will not be considered in the
calculations.
c. Improvements will be based on 2020 projected traffic volumes from future
development and regional growth and shall be consistent with full
implementation of the circulation system as delineated by the most recently
adopted Circulation Element of the City's General Plan and the Orange
County Master Plan of Arterial Highway. Where volumes are not available or
inconsistencies exist, the traffic volumes will be approved by the City Traffic
Engineer as determined by a traffic report prepared by the City at the
developer's expense.
CITY OF SAN JUAN CAPISTRANO
COUNCIL POLICY
Subject: Effective Policy
Page Date Number
"FAIR SHARE" METHODOLOGY
& DEVELOPER REIMBURSEMENTS 2 of 2 3/17/98 111
d. "Fair Share" participation by development shall account for 100% of the costs
for each off-site improvement. Through traffic will not be included in the "Fair
Share" distribution calculations. Through traffic will be discounted as a
percentage of the future volume as approved by the City Traffic Engineer.
The City shall include, as a part of its traffic study, the amount of through
traffic for the City Traffic Engineer's review and approval.
3. Except as may be expanded at the discretion of the City Traffic Engineer, impacts
will not be considered for "Fair Share" participation as follows:
a. Less than 1% increase in peak hour traffic within two miles of the project.
b. Less than 3% increase in peak hour traffic in the remaining areas of the City.
4. A developer may enter into a reimbursement agreement with the City whenever it is
required to construct improvements and those improvements are to be "Fair
Shared". Reimbursement agreements may include repayment from future
development which also has "Fair Shared" responsibility for the same
improvement(s). Reimbursement agreements shall not include any requirements for
the City to pay for future reimbursements should future development not occur.
Reimbursement agreements shall run for a period not to exceed fifteen (15) years.
A renewal shall only be considered if a development providing reimbursement is
reasonably expected within the renewal period. In no case shall a renewal exceed
five (5) years and it shall be limited to one (1) renewal.
5. Existing reimbursement agreements. Where developers have entered into
reimbursement agreements with the City to provide necessary improvements
benefiting future development, the future development shall contribute its "Fair
Share" exclusive of the City's System Development Tax.
6. Administrative Policy #310 - "Preparation and Use of Traffic Studies" shall include
provisions for determining "Fair Share" improvements and costs for off-site impacts
as outlined in this policy.
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