HomeMy WebLinkAboutPW Traffic Mitigation Fees____________________________________________________________________________________
FOR CITY CLERK ONLY
Council Meeting: December 6, 2021
Disposition: Accepted report
Agenda Item No: 5.f
Meeting Date: December 6, 2021
SAN RAFAEL CITY COUNCIL AGENDA REPORT
Department: Public Works
Prepared by: Bill Guerin,
Director of Public Works
City Manager Approval: ______________
TOPIC: TRAFFIC MITIGATION FEES
SUBJECT: ANNUAL TRAFFIC MITIGATION FEE REPORT - FY 2021-22
RECOMMENDATION: Accept the Annual Traffic Mitigation Fee Report.
BACKGROUND: Traffic mitigation fees are a type of development impact or public facility fee. They are
charged by a local governmental agency to an applicant in connection with the approval of a development
project. They are not a tax or special assessment. Rather, their purpose is to offset the cost of public
facilities made necessary by the development project. Traffic Mitigation Fees are collected to provide
funds for increasing street capacity to accommodate additional traffic generated by new development.
Assembly Bill (AB) 1600 (California Government Codes §66000 – 66025) established requirements for
how cities collect, maintain, and spend impact fees.
Impact fees must demonstrate a reasonable connection between the fee charged and the cost of the
improvements for which they are collected, must be deposited in a separate account, segregated from
the City’s general fund, and used only for the identified improvements. AB 1600 requires cities to spend
or commit the fees within five years of collection or return them to the developer unless a finding can be
made that a reasonable relationship continues to exist between the current need for the fee and the
purpose for which it was originally collected (Gov. Code §66001(d)).
Following the direction of the General Plan 2040, the Traffic Impact Fee was updated by the City Council
by Resolution No. 14983 adopted on October 4, 2021. The update was based on a nexus study
conducted by Fehr and Peers Consultants. The nexus report justified the increase of the trip rate to
$6,909. The City Council directed that this fee be implemented gradually over a five-year period starting
in January 2022 and provided for an annual adjustment of the fee according to the Lee Saylor
Construction Cost Index.
Of the City’s various development fees, the Traffic Mitigation Fee is the only such fee subject to AB 1600
reporting. Pursuant to Government Code Section §66006, cities must publish annual reports on these
fees, which are to be available to the public.
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2
ANALYSIS: The Traffic Mitigation Fee report consists of the following required seven elements pursuant
to Government Code Section §66006:
1. Fee description: The Traffic Mitigation Fee is charged to new development projects. It is intended
to pay for those circulation system improvements identified in General Plan 2040 needed to
accommodate the proposed development, including additional improvements that may become
necessary in the long-term and are desirable to enhance San Rafael’s circulation system.
2. Amount of the fee: Following the City Council’s October 4, 2021 increase of the fees, each new
A.M. and P.M. peak hour trip generated by a development is charged a fee according to the
following schedule:
5 Year Option
Year 1 – January 1, 2022 $4,779
Year 2 – January 1, 2023 $5,312*
Year 3 – January 1, 2024 $5,845*
Year 4 – January 1, 2025 $6,378*
Year 5 – January 1, 2026 $6,909*
*This amount does not include the approved Construction Cost Index annual adjustment.
Fees are calculated based on land use types and their estimated trips generated.
3. The following is a table summarizing the beginning and ending year fund balance, as well as
specific revenues and expenditures for Traffic Mitigation Fund #246 for FY 21.
Fund 246 (Traffic Mitigation Fund) balance July 1, 2020 $2,150,944
Revenue (20/21)
• Interest income
• Traffic Mitigation Fees
$3,582
$1,870,288
Total Revenue $1,873,870
Expenditures (20/21)
• Capital Projects
2nd and 3rd Street Queue Cutters #11335
Innovative Deployment of Enhanced Arterials (IDEA) #11348
Second Street Intersection Improvement #11369
C & D Street Two-Way Conversion #11378
TAM Safe Pathways to Schools Program #11379
Grand Avenue Protected Two-Way Cycle Track #11393
Miscellaneous Traffic Signal Improvements (Operational)
$7,640.00
$987,684.55
$157,609.90
$83,284.26
$52,259.97
$24,660.00
$120,191.70
Total Expenditures $1,433,330
Net Change Fund Activity $440,540
Fund Balance June 30, 2021 $2,591,484
4. List of improvements on which fees were expended, amount of expenditure and total percentage
of cost covered by fee: A list of all major planned circulation improvements identified in the
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3
General Plan is provided in Attachment 1 of this report. Following are the projects for which Traffic
Mitigation Fees were used during the 2020-21 fiscal year:
a. 2nd and 3rd Street Queue Cutters (#11335) – In preparation for the extension of SMART
to Larkspur, which includes rail line crossing Second and Third Streets, the City needed
to make signalization improvements. Design was started in FY 2017-18, and construction
was awarded by the City Council on December 3, 2018. There is limited remaining signal
work to improve safety.
b. Innovative Deployment of Enhanced Arterials (IDEA) Grant (#11348) – San Rafael is a
successful recipient of the Innovative Deployment of Enhanced Arterials (IDEA) grant,
funded by the Metropolitan Transportation Commission (MTC). On January 10, 2018,
MTC awarded the City $830,000 to develop and implement an Automated Traffic Signal
Performance Measures (ATSPM) system, with $365,856 in matching local funds, for a
total project budget of $1,195,856. This system consists of a network of cameras at
intersections in combination with an analytic program that measures traffic volumes,
provides approach delay per vehicle, reports arrivals on red, pedestrian delay, and
highly sophisticated coordination data. Once installed, data collected from the ATSPM
can be used to more accurately program and time the traffic signals based on historical
traffic patterns in Central San Rafael. The ATSPM system benefits all users, including
vehicles, bicyclists, and pedestrians. On June 1, 2020, the City Council authorized the
execution of an agreement with Mike Brown Electric for work on this project.
c. Second Street Intersection Improvements (#11369) – Second Street is a major
thoroughfare through Downtown San Rafael. This project rehabilitated critical
intersections and includes pavement resurfacing, wheelchair ramps, and traffic signal
upgrades with new communication equipment.
d. C & D Street Two-Way Conversion (#11378) – This project involved the conversion of C
and D Streets from one-way streets to two-way streets between Fifth Avenue and First
Street/Second Street to improve access for emergency vehicles and greatly help with
emergency response time, especially for vehicles located at the Public Safety Center. The
contract for construction was awarded at the regular June 15, 2020 City Council meeting.
This project was partially funded ($45,000) by Traffic Mitigation fees, as the traffic signal
upgrades that are a part of the project are improvements identified in Exhibit 21 of the
2020 General Plan.
e. TAM Safe Pathways to Schools Program (#11379) – San Rafael was successful in
receiving Safe Pathways grant funding through the Transportation Authority of Marin
(TAM) for improvements at locations within school zones. TAM administers the Safe
Routes to Schools Program, which works to relieve traffic congestion around schools by
promoting alternatives to commuting to school, such as walking, biking, taking the bus and
carpooling.
f. Grand Avenue Protected Two-Way Cycle Track (#11393) – The City plans to construct a
protected two-way cycle track and widened sidewalk on the east side of Grand Avenue
from Second Street to Fourth Street. This would achieve the goal of getting bicyclists and
pedestrians to and from Fourth Street, the main east-west multi-modal route through town.
This segment is also a project in the Bicycle and Pedestrian Master Plan, 2018 Update.
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 4
5. Approximate date by which construction will commence when City has determined that sufficient
funds have been collected: See No. 4 above. Projects identified in General Plan 2040 are major
infrastructure improvements which often require substantial state and federal funding in addition
to Traffic Mitigation resources. Scheduling of those projects therefore depends upon the
availability of these supplemental funds.
6. Any interfund loan or transfer, including the public improvement where it will be spent: No transfers
were made.
7. Refunds made due to sufficient funds being collected: No refunds were made.
An analysis of the accumulated fund balance follows. A first in, first out (FIFO) accounting method
assumes the first revenue collected is the first spent. Staff analyzed the annual balances for the past 5
fiscal years and determined that no funds have been held for more than 5 years, as shown in the following
table:
Traffic Mitigation Fund #246
Revenues only:
0-1 Year 1-2 Years 2-3 Years 3-4 Years 4-5 Years 5+ Years
Unspent &
received in
FY 20-21
Unspent &
received in
FY 19/20
Unspent &
received in
FY 18-19
Unspent &
received in
FY 17-18
Unspent &
received in FY
16-17
Unspent &
received 1/1/89 to
6/30/16
1,873,870 573,818 2,438,253 896,147 382,554 (3,573,158)
As evidenced by the projects described above, current traffic improvement projects underscore the
connection between the current need for the fees and the purpose for which they were originally
collected. The City anticipates the following projects will continue to incur Traffic Mitigation Funds
expenses in FY 2021-22:
• TAM Safe Pathways to Schools Program (#11379)
• IDEA Grant (#11348)
• Grand Avenue Protected Two-Way Cycle Track (#11393)
While these are the projects currently under construction, it is worth noting that the total cost of the
Citywide Project List eligible for Traffic Mitigation Fees is estimated at $85.66 million of which (28%)
would come from traffic mitigation fees.
FISCAL IMPACT: There is no fiscal impact associated with accepting the report.
OPTIONS:
• Accept the report as recommended.
• Do not accept the report.
RECOMMENDED ACTION: Accept the Traffic Mitigation Fee Report.
ATTACHMENTS:
1. City of San Rafael Transportation Fee Nexus Report. June 2021
2. Exhibit 21 General Plan 2020
Draft Report
City of San Rafael
Transportation Fee
Nexus Report
June 2021
SAN RAFAEL
General Plan
Table of Contents
1. Introduction ............................................................................................................................. 1
Background and Purpose.......................................................................................................................................................... 1
Study Area ....................................................................................................................................................................................... 1
Organization of the Report ...................................................................................................................................................... 2
2. Project List ............................................................................................................................... 3
3. Growth Projections ................................................................................................................. 6
4. Nexus Analysis and Fee Calculations..................................................................................... 7
Analysis of Future Usage ........................................................................................................................................................... 7
Brief Description of Travel Demand Models ............................................................................................................. 7
Modeling in Marin County ............................................................................................................................................... 7
Procedure for Analyzing Future Usage ....................................................................................................................... 8
Results of Analyzing Future Usage ............................................................................................................................... 8
Fee Amounts .................................................................................................................................................................................. 9
Fee Update Implementation ..................................................................................................................................................10
5. Summary of Required Program Elements .......................................................................... 11
List of Tables
Table 1: City of San Rafael Citywide TMF Project List ........................................................................................................... 4
Table 2: Projected Growth in San Rafael .................................................................................................................................... 6
Table 3: Eligible TMF Costs: Future Trip Allocation for City of San Rafael and SOI Zones .................................... 9
Table 4: Calculation of San Rafael TMF Fees ............................................................................................................................ 9
Table 5: Options for Implementing Updated Transportation Fees .............................................................................. 10
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1. Introduction
Background and Purpose
The Traffic Mitigation Fee (TMF) on development projects in San Rafael was last updated by the Ci ty
Council on November 15, 2004. The fee was updated in conjunction with the San Rafael General Plan 2020
that was also adopted by the City Council in 2004, with the purpose of providing funds to support
implementation of improvements identified in the Circulation Element due to the potential impacts of
projected future development.
The purpose of this report is to serve as the necessary documentation to allow the City to update the
existing citywide TMF program in conjunction with the current update to the General Plan and
preparation of a Downtown Precise Plan. The City of San Rafael TMF is based on multiplying the number
of net new peak hour trips (AM plus PM peak hours) for a project by the fee of $4,246 per trip. The fee of
$4,246 per trip has not changed since 2004.
Impact fees are established under a state law known as Assembly Bill (AB) 1600, the Mitigation Fee Act.
Fees charged pursuant to this legislation are used to build capital facilities needed to offset the impacts
generated by new development. It is common practice throughout California for local jurisdictions to
establish impact fee programs to fund the construction of several types of public infrastructure and
facilities; one common type of fee program is a transportation impact or mitigation fee, which generates
funds that are used to construct infrastructure and provide facilities that support the transportation needs
of new residents and businesses.
Per the requirements of AB 1600, each impact fee program must be supported by a “nexus” analysis,
which is a rational and documented set of procedures by which the agency establishes that there is a
reasonable relationship (or “nexus”) between anticipated future development in the jurisdiction, the need
for new infrastructure to support that development, and the fees that will be charged to help fund that
infrastructure. Thus, the technical reports (such as this report) that are prepared to support a fee program
are commonly called nexus studies.
Study Area
This nexus study addresses anticipated future development in the incorporated City of San Rafael as well
as in the sphere of influence (SOI) area that immediately surrounds the incorporated city.
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Organization of the Report
After this introductory section, the report contains four additional sections:
• Section 2 – Project List describes the list of capital improvement projects that would be included
in the program.
• Section 3 – Growth Projections documents the amount of growth anticipated over the next twenty
years in the geographic areas that would be covered by the Citywide TMF.
• Section 4 – Nexus Analysis and Fee Calculations describes the results of the nexus analysis and
calculates the fee amounts using the information presented in the report.
• Section 5 – Summary of Required Program Elements summarizes how the information in this
report satisfies the requirements of the Mitigation Fee Act (AB 1600).
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2. Project List
The General Plan Update team comprised of City staff collaborated to develop a list of capital
improvement projects for inclusion as part of the Citywide TMF. The projects reflect the goals and
objectives in the General Plan Circulation Element, with particular emphasis on improving traffic flow and
reducing conflicts for vehicles, bicyclists and pedestrians through the application of intersection
improvements such as constructing roundabouts, additional turn and merge lanes, and other facilities that
would smooth traffic flow and reduce exposure of more vulnerable road users. Priority was given to
projects that are located on the City’s arterial and collector streets, defined as existing roadways that serve
as primary travel routes to and through the City.
Table 1 contains a description of each project along with its estimated cost. The projects in Table 1 are
broken down into the following six categories.
▪ Interchange Projects
▪ Downtown Area Improvements
▪ Active Transportation (Pedestrian/Bicycle) Improvements
▪ Complete Streets & Corridors
▪ Intersection Improvements
▪ Smart Infrastructure (Technology)
A total of 16 projects or programs are listed within the six categories listed above. As noted in Table 1, 12
of the 16 projects or programs are included in the current Citywide T MF.
The four projects that are added to the current Citywide TMF are as follows.
▪ Downtown San Rafael Remaining One-Way Street Conversions – as described in Downtown
Precise Plan, convert one-way segment of B Street to two-way operation
▪ US 101/Downtown San Rafael Interchange – improvements to local road segments and
intersections along Irwin Street, Hetherton Avenue, 2nd Street, and 3rd Street in the vicinity of the
Downtown northbound and southbound ramps to US 101
▪ Fourth Street (West End) Intersection Realignment – realignment of Fourth Street/Second
Street/Marquard Avenue intersection per alternatives developed for the 3rd Street
▪ Fourth Street Multimodal Improvements – as described in Downtown Precise Plan, improve
pedestrian and bicycle connections while maintaining high quality transit route along 4th Street
The above four improvements are identified to serve planned residential and employment growth in
Downtown San Rafael as identified in both the General Plan Update and Downtown Precise Plan. PM peak
hour volumes on the segments of 2nd Street, 3rd Street, 4th Street, Irwin Street, and Hetherton Avenue that
are part of the four new above projects are forecast to increase from 16 percent to 29 percent from
existing to 2040 conditions due to planned growth.
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Table 1: City of San Rafael Citywide TMF Project List
# DESCRIPTION COST ($M)
1. INTERCHANGE PROJECTS
Includes modifications to interchanges for capacity, safety, access, and improved circulation
1A1
US 101/Freitas Parkway Interchange West. Reconfigure the US 101 off-ramp / Freitas
Parkway (Del Presidio) and Northgate Rd/ Freitas Parkway intersection to address safety,
circulation, and capacity issues. Improvements would be coordinated with ongoing
development plans and anticipated Northgate Specific Plan/ Precise Plan process where
appropriate.
$15
1B1
US 101/ Freitas Parkway Interchange East. Reconfigure the US-101 NB off-ramp/Civic
Center Drive intersection to address safety, circulation, and capacity issues. Improvements
would be coordinated with ongoing development plans and Northgate PDA, and future
planning process where appropriate.
$15
1C1
Smith Ranch Road/Lucas Valley Road Multimodal Improvements at US 101. Road
widening and additional lane capacity from Los Gamos to Redwood Highway. Improve
pedestrian and bicycle access across the US-101 underpass by reconstructing the bridge
to provide dedicated bicycle facilities and wider pedestrian sidewalks.
$6
Category 1 Subtotal $36
2. DOWNTOWN AREA IMPROVEMENTS
Includes improvements in the downtown area as defined by the Downtown Precise Plan area. Projects and
improvements may include projects from other adopted City plans but is intended to include improvements to meet
the vision, goals, and objectives of the Downtown Precise Plan.
2A
Downtown roadway and intersection improvements (traffic signals, roundabouts,
pedestrian/bicycle, ADA, and/or turn lane modifications) and improvements to gateway
streets to Downtown, including:
▪ Downtown San Rafael Remaining One-Way Street Conversions, per Downtown
Precise Plan
▪ New traffic control devices1 (e.g., traffic signal, roundabout, or other devices) at
Fifth Ave/H St, First St/C St, First St/D St, Fourth St/Union St, and Mission
Ave/Court St
$4
2B US 101/ Downtown San Rafael Interchange. Improvements to Irwin St, Hetherton Ave,
2nd St, and 3rd St in the vicinity of the NB off-ramp and SB on-ramp. $10
2C Fourth Street (West End) Intersection Realignment. Re-align Fourth Street/Second
Street/Marquard Avenue intersection. $6
2D1
Second Street Multimodal Improvements. Improve Second Street corridor operations
while addressing pedestrian and bicycle safety at crossing locations, and widen sidewalks
and remove parking where feasible
$6
2E
Fourth Street Multimodal Improvements. Improve pedestrian and bicycle connections
while maintaining high quality transit route along 4th Street. Improvements include
converting parking to loading, widening sidewalks, and improving the bus and bike
experience. Also Includes 4th Street signal and ADA upgrades.
$13
Category 2 Subtotal $43
3. ACTIVE TRANSPORTATION (PEDESTRIAN/BICYCLE) IMPROVEMENTS
Includes multimodal improvements and programs with a focus on pedestrian and bicycle improvements
identified in the Bicycle & Pedestrian Master Plan.
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Table 1: City of San Rafael Citywide TMF Project List
# DESCRIPTION COST ($M)
3A1 Includes various projects identified in the 2018 BPMP, consistent with the priorities
expressed in that Plan. $9.6
Category 3 Subtotal $9.6
4. COMPLETE STREETS & CORRIDORS
Corridor level improvements including reconstruction of sidewalks, streets, pavement, signing, striping, and
crossing improvements, with the objective of improving peak hour traffic flows and accommodate modes other than
just motorized vehicles.
4A1
Lincoln Avenue Peak Period Lanes/Parking Restrictions. Extend the existing PM peak
period parking restrictions, to allow for two lanes in each direction during both AM and
PM peak periods, from Hammondale Court/SB US 101 ramps to Mission Ave. Provide
additional parking in corridor. Include ADA upgrades, crossing improvements, and other
multimodal improvements/accommodations.
$4.6
4B1
Northgate Area Intersection and Complete Streets Improvements. Includes Las
Gallinas/Northgate and Las Gallinas/Del Presidio intersections. Also includes
improvements to Las Gallinas Avenue and Los Ranchitos Road, Northgate Drive, and Del
Presidio Blvd, and continued development of North San Rafael Promenade. Additional
improvements to be identified through future PDA planning process.
$2.3
4C1
Francisco Boulevard East Corridor Improvements. Increase capacity from Bellam to
Grand Avenue bridge and install signal, ADA, and pedestrian improvements at Harbor St.
Additional improvements to be identified through future PDA planning process.
$10.2
Category 4 Subtotal $17.1
5. INTERSECTION IMPROVEMENTS
Intersection improvements including new traffic signals, intersection realignments/reconfigurations, and other
major changes to spot locations that are outside the Downtown Precise Plan area.
5A1 Fourth Street (Miracle Mile) Intersection Improvement. Improve performance of
Fourth Street signal at Ross Valley Dr and Santa Margarita Dr, including ADA upgrades. $0.5
5B1 Lincoln/DuBois/Irwin. New signal, roundabout, or other intersection improvement to
improve safety and traffic flow. $2.5
Category 5 Subtotal $3.0
6. SMART INFRASTRUCTURE (TECHNOLOGY)
Traffic signal and communication infrastructure upgrades, including monitoring equipment, fiber
optic/communication systems, and other technology enhancements to facilitate smart management of
transportation system.
6A1 Intersection Technology. Traffic signal equipment, cameras, modems, wireless, Bluetooth,
automated data collection, etc. $4.0
6B1 Corridor Communication System. Fiber optic cable and conduit along major arterials and
central City system upgrades. $2.0
Category 6 Subtotal $6.0
TOTAL $114.7
1 Project in current transportation mitigation fee program.
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3. Growth Projections
An important element of every fee calculation is the estimate of future growth in the fee area. The growth
forecasts that are used in this nexus study are based on the existing and 2040 forecasts from the preferred
land use alternative for San Rafael General Plan 2040, as shown in Table 2.
The land use data shown in Table 2 was incorporated into the Transportation Authority of Marin Travel
Demand Model (TAMDM) and forecasts of person trips and vehicle trips prepared for both the base year
and 2040 scenarios. The forecast growth in the number of net new AM and PM peak vehicle hour trips
was extracted from the model, as the current City of San Rafael TMF is based on multiplying the number
of net new peak hour vehicle trips (AM plus PM peak hours) for a project by the fee of $4,246 per vehicle
trip. As shown in Table 1, a total of 3,513 net new vehicle trips are forecast to be added to the street
network for a typical weekday based on growth in the City of San Rafael over the next 20 years. This
represents the total number of net new peak hour vehicle trips estimated to occur because of new
development in San Rafael and will be the basis for calculating the updated fee.
Table 2: Projected Growth in San Rafael
INCORPORATED CITY SOI AREA TOTAL CITY + SOI
POPULATION
Existing 61,230 14,521 75,751
2040 69,240 15.421 84,661
Growth 8,010 900 8,910
EMPLOYMENT
Existing 42,050 2,150 44,200
2040 46,100 2,215 48,315
Growth 4,050 65 4,115
SERVICE POPULATION (POPULATION + EMPLOYMENT)
Existing 103,280 16,671 119,951
2040 115,340 17,636 132,976
Growth 12,060 965 13,025
Projected Growth in New AM Peak Hour plus PM Peak Hour Trips for a Typical
Weekday (2020-2040) 3,513
Source: Trip growth from TAM Marin County Travel Demand Model (TAMDM) based on the San Rafael Plan 2040 population and
employment growth forecasts, Fehr & Peers.
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4. Nexus Analysis and Fee
Calculations
Analysis of Future Usage
A key part of the nexus study process is to conduct an analysis of the future usage of the T MF facilities to
establish a relationship between the travel needs generated by new development in San Rafael and the
facilities that are proposed to be improved through application of fee revenues. A common practice in
nexus studies is to use a travel demand model for this purpose. Below we present a brief introduction to
travel demand models, followed by a description of the process used to conduct this nexus analysis and
the results.
Brief Description of Travel Demand Models
Travel demand models are developed by transportation planners and engineers with specific training in
this field. The models are built using specialized software and a wide range of data about the existing
transportation system. This data includes Geographic Information Systems (GIS) data abou t the locations
and characteristics of all the streets and highways in the study area, data about the types of land uses
(e.g., single-family homes, retail shops, office buildings, etc.) located in the study area, data about the
socioeconomic characteristics (such as age, income, and employment status) of the people living in the
study area, and survey data about how people with varying characteristics tend to travel. Once the input
data is developed and checked, the model is calibrated to reflect existing travel patterns; that is, the
mathematical procedures applied within the model are adjusted until the model’s outputs (such as traffic
volumes and speeds on each road) match reasonably well with actual observations.
At that point, the model is considered ready for use in analyzing future scenarios. Model inputs can be
changed to reflect different possible futures, and then the outputs are examined to see how future travel
patterns might change in response to those different scenarios. For example, there may be a proposal to
build a group of new office and retail buildings on a site that is currently vacant; the model inputs can be
adjusted to reflect that proposed new development (size of the new buildings, types of uses, etc.), and
then the model will be applied to see how the traffic volumes in that vicinity might be expected
to change.
Modeling in Marin County
The travel model that is currently used for transportation planning purposes in Marin County is developed
and maintained by the Transportation Authority of Marin (TAM) and is referred to as the Transportation
Authority of Marin Travel Demand Model (TAMDM). TAM has maintained a travel model for many years
and applies industry-standard model development and calibration procedures. The TAMDM was most
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recently updated in 2019 and the most current available version of the model has been used for this
nexus analysis. The horizon year of the model is year 2040.
Procedure for Analyzing Future Usage
For the purposes of a nexus analysis, a model is used to determine the linkage between traffic coming
from the geographic areas subject to the TMF and the usage of the specific facilities that are going to be
funded with TMF revenues. In a travel demand model, roads and intersections are represented by a
network of “links” and “nodes”; in general, each link represents a road segment and each node (i.e., a
location where two links are joined) represents an intersection. For each of the projects included in the
Citywide TMF program, the links in the model network that represent that project location were identified.
Then, “select link” model runs were conducted for each of the proposed T MF projects. The select link
analysis identifies the origins and destinations of each vehicle that is projected to use each selected l ink;
with this information, the fair share of cost associated with each project can be allocated to development
in San Rafael and included in the impact fee.
For the fair share calculations for the San Rafael TMF programs, there are four types of trips identified
through the select link process:
1. Trips that both start and end in San Rafael;
2. Trips that have an origin in San Rafael and a destination elsewhere;
3. Trips that have a destination in San Rafael and an origin elsewhere; and,
4. Trips that have neither an origin nor a destination in San Rafael but are using roads that pass-
through San Rafael (also referred to as “pass-through” trips).
Trips that fall into the final category, “pass-through” trips, should not be included in the fee program
because those trips are not related to San Rafael development that is subject to the fee. Trips from the
other three categories are attributable to development in San Rafael and thus can be included in the TMF
calculations.
Results of Analyzing Future Usage
The results are shown in Table 3. The column titled “Proportion of 2040 Trips from City and SOI Areas”
shows the percentage of traffic on each facility that falls within the first three categories described above
(i.e., the traffic that is linked to development in San Rafael). That percentage is then applied to the
estimated cost for each project to determine the dollar amount that is considered eligible for inclusion in
the TMF program.
It should be noted that the intent of this analysis is solely for the purposes of the TMF nexus analysis. The
primary result is the percentage of trips projected to use each facility that are linked to development in
San Rafael. It is not intended for these results to be used to determine the appropriate size or
configuration for any particular facility.
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Table 3: Eligible TMF Costs: Future Trip Allocation for City of San Rafael and SOI Zones
Number Category Total Cost
Estimate
(2020 $)
Proportion of
2040 Trips from
City and SOI
Zones
Cost Eligible for
Citywide TMF
1 Interchange Projects $36 M 89% $32.2 M
2 Downtown Area Improvements $43 M 64% $28.0 M
3 Active Transportation (Pedestrian/Bicycle) $9.6 M 60% $ 5.7 M
4 Complete Streets & Corridors $17.1 M 84% $14.3 M
5 Intersection Improvements $3.0 M 75% $ 2.2 M
6 SMART Infrastructure (Technology) $6.0 M 60% $ 3.6 M
TOTAL $114.7 M $85.66 M
Fee Amounts
Table 4 displays the calculated impact fees. These fees have been calculated based on the list of projects
as shown in Table 1, and the projected number of new daily trips as shown in Table 2. Based on
consultation with City staff, it was determined that $90 million in revenues (or about 78 percent of the
total program cost) would be acquired from other revenue sources such as federal, state, and regional
grant programs as well as public benefit contributions from large developments.
The result of the calculations is a fee per new peak hours trip that would be applied to applicants for new
building permits in San Rafael. The fee below represents a 63 percent increase in the current fee program
that has not been updated since November 2004. The 2004 TMF update included a provision for the
traffic mitigation fee to be adjusted annually to account for inflation based on a construction cost index.
The National Highway Construction Cost Index (NHCCI) maintained by the Federal Highway
Administration (FHWA) indicates that the cost for construction increased 72 percent from 2004 through
2020.
Table 4: Calculation of San Rafael TMF Fees
Calculation Value
Total Estimated TMF Project Costs $114,700,000
Total Funds from Other Revenue Sources $ 90,430,000
Total Cost of Projects Funded by TMF
(note: this represents about 28 percent of the $85.66 million eligible for
Citywide TMF per Table 3 above)
$ 24,270,000
Divided by Growth in AM and PM Peak Hour Trips (20 years) 3,513
Fee per Net New AM and PM peak Hour Trip $6,909
City of San Rafael Transportation Fee Nexus Study
April 2021
10
Fee Update Implementation
Two alternatives for implementing the updated transportation fees are presented in Table 4 for
consideration. Option A would involve a one-time adjustment of the current fee of $4,246 per AM and PM
peak hour trip to $6,900 as shown in Table 4. This one-time adjustment would result in a fee that would
be slightly less than an updated amount adjusted for inflation since the fee was last updated in 2004,
which would be approximately $7,300 based on the National Highway Construction Cost Index (NHCCI)
maintained by the Federal Highway Administration (FHWA). Option B would involve pro-rating the one-
time adjustment in Option A over three years.
Table 5: Options for Implementing Updated Transportation Fees
YEAR
UPDATED FEES WITH IMPLEMENTATION OPTIONS
Option A:
One-Time Increase
Option B:
Increase Pro-rated Over 3 Years
2021 $6,909 $5,134
2022
Adjusted each year based on prior year
inflation
$6,021
2023 $6,909
2024
Adjusted each year based on prior year
inflation 2025
2026
1 The average annual inflation rate based on the National Highway Construction Cost Index (NHCCI) maintained by the Federal
Highway Administration (FHWA) from 2004 through 2020 was 4.5 percent.
City of San Rafael Transportation Fee Nexus Study
April 2021
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5. Summary of Required Program
Elements
This report has provided a detailed discussion of the elements of the San Rafael Transportation Mitigation
Fee program and explained the analytical techniques used to develop this nexus study. The report
addresses all of the fee program elements required by AB 1600, as summarized below.
1. Identifying the purpose of the fee
The City of San Rafael TMF program was established for the purpose of supporting public infrastructure
improvements and facilities needed to mitigate the traffic-related impacts of new development in the City
of San Rafael.
2. Identifying how the fee will be used and the facilities to be funded through the fee
The fee will be used to help fund capital improvement projects that will accommodate future
transportation needs throughout Sam Rafael. Table 1 identifies the projects to be funded through the fee.
3. Determining a reasonable relationship between the fee’s use and the type of development on which
the fee is imposed
As described in this report, different types of development generate traffic with different characteristics.
The calculations presented in Table 2 account for these characteristics by calculating the number of peak
trips generated by the different land use types that are assumed to occur over the next 20 years in the San
Rafael General Plan 2040. These considerations account for the differential impacts on the local
transportation system generated by different development types.
4. Determining a reasonable relationship between the need for the public facility and the type of
development on which the fee is imposed
The need for the facilities listed in Table 1 has been established through planning processes including the
San Rafael General Plan 2040 and Downtown Precise Plan prepared by the City of San Rafael. As described
in the report, the facilities included in the TMF currently operate acceptably so there are no existing
deficiencies on the facilities included in this program, indicating that the need for improvements is not
caused by existing development.
City of San Rafael Transportation Fee Nexus Study
April 2021
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5. Determining a reasonable relationship between the amount of the fee and the cost of the public
facility (or portion of facility) attributable to new development
Section 4 of this report describes the calculations applied to determine the cost of the public facility that
is attributable to new development in San Rafael; this process accounts for the effects of existing
deficiencies (of which there are none in this program) and the effects of traffic generated from outside the
area that will be subject to the fee. Thus, a reasonable effort has been made to quantitatively establish
the relationship between the fees charged in the San Rafael TMF program and the costs of public
improvements attributable to new development within the TMF area.
Amended and reprinted 01/18/13
Exhibit 21
Major Planned Circulation Improvements a
Funding Source
Proposed Roadway Improvements Projected Cost Mitigation Fee Redevelopment State & Federal Projected Project Timing (b)
1 Smith Ranch Road/Lucas Valley Road
Widen roadway to provide two westbound and two
eastbound lanes between Redwood Highway and
Los Gamos.
Widen northbound 101 off ramp and southbound
101 off ramp for additional right and left turn lanes.
$4,000,000 $4,000,000 Depends On Development Timing
2 Lucas Valley/Los Gamos
Widen Lucas Valley Road to provide two through
lanes for eastbound and westbound, and provide
two westbound left turn lanes.
Widen southbound Los Gamos to provide 2 lanes
for 300 feet and merge back to one lane.
Signalize intersection and coordinate with adjacent
intersections.
$2,000,000 $2,000,000 Depends On Development Timing
3 Las Gallinas Avenue (Merrydale to Del
Presidio)
Remove parking and widen street to provide four
lanes (one southbound, two northbound and one
two-way left turn).
$300,000 $300,000 Depends On Development Timing
4 Freitas/Las Gallinas
Upgrade the traffic signal system and operation.
Improve intersection geometry, cover portions of
drainage ditch
$650,000 $650,000 5-7 years
5 Freitas/Del Presidio
Explore feasibility of double northbound right turn
and southbound 101 on ramp widening
$900,000 $900,000 Depends On Development Timing
6 Freitas/ Northbound 101 Ramps- Redwood-
Civic Center widening and signalization.
Right of Way Required.
$7,500,000 $7,500,000 Depends On Development Timing
Amended and reprinted 01/18/13
Funding Source
Proposed Roadway Improvements Projected Cost Mitigation Fee Redevelopment State & Federal Projected Project Timing (b)
7 Grand Avenue (south of Grand Avenue bridge
to Fourth Street)
Widen north/south, add one lane as required, and
upgrade traffic signal system. Requires right of way
and major bridge widening.
$6,500,000 $3,250,000 $3,250,000 Depends On Development Timing
Signalize Grand/ Fifth, and restrict parking to
provide turn lanes.
$200,000 $200,000 5-7 years
Signalize Grand/ Mission, and restrict parking to
provide turn lanes.
$200,000 $200,000 5-7 years
8 Francisco Blvd. East (Bellam to Grand Avenue
Bridge)
Four lanes required. One southbound, one two-way
left turn and two northbound lanes. Major right of
way required.
$10,000,000 $5,000,000 $5,000,000 Depends On Development Timing
Signalize Francisco Blvd. East/Harbor.$200,000 $200,000 5-7 years
9 Lincoln Avenue (Second Street to southbound
101 ramps - Hammondale or as required)
Extend the existing PM peak northbound Tow-
Away zone for AM peak as well (four lanes may be
required). This parking restriction is likely to be
extended north toward the southbound 101 ramps.
$400,000 $400,000 3-5 years
Signalize Lincoln/ Grand, and restrict parking to
provide turn lanes.
$200,000 $200,000 3-5 years
10 Mission/Lincoln
Provide additional lanes for northbound, and
westbound; upgrade traffic signal system, requires
right of way.
$4,000,000 $4,000,000 Depends On Development Timing
11 Fourth Street (Miracle Mile)
Re-align Ross Valley and Santa Margarita and re-
design intersection operation. LOS may deteriorate
but community access will be provided.
$450,000 $450,000 5-7years
Additional Signalization
12 Signalize Fifth & H Street, and restrict parking to
provide turn lanes.
$100,000 $100,000 3 years
Amended and reprinted 01/18/13
Funding Source
Proposed Roadway Improvements Projected Cost Mitigation Fee Redevelopment State & Federal Projected Project Timing (b)
13 Signalize First/C Street, and restrict parking to
provide turn lanes.
$150,000 $150,000 3 years
14 Signalize First/ D Street, and restrict parking to
provide turn lanes.
$150,000 $150,000 3 years
15 Signalize Fourth/Union Street, and restrict parking
to provide turn lanes.
$200,000 $200,000 Depends On Development Timing
16 Signalize or Roundabout Mission/Court Street.$200,000 $100,000 $100,000 Depends On Development Timing
17 Signalize Merrydale/Southbound 101 Ramps, and
provide turn lanes.
$250,000 $250,000 5-7years
18 Signalize Lincoln/DuBois/Irwin and re-align
intersection. Right of way required.
$2,500,000 $2,500,000 Depends On Development Timing
19 Third/Union Street
Widen Union Street to provide 4 lanes between
Third and Fourth. Fire Station 4 modification
required.
Reconfigure Third/Union eastbound left turn
pocket.
Provide westbound right turn pocket.
Upgrade the traffic signal system and operation.
$900,000 $900,000 2 years
20 Kerner Blvd or Francisco Blvd. East. To
Andersen Drive Undercrossing
Provide a minimum 3-lane connector near
Shoreline Parkway. Signalize at both ends.
$8,000,000 $4,000,000 $4,000,000 Depends On Development Timing
21 Andersen /East Sir Francis Drake-eastbound
580 Ramps
Major widening and signalization.
$2,000,000 $500,000 $500,000 $1,000,000 5-7 years
22 Upgrade traffic signal system.$3,000,000 $1,500,000 $1,500,000 7 years
23 Install traffic monitoring sensors and camera
system.
$1,000,000 $500,000 $500,000 7 years
24 Install Fiber Optic network throughout the
traffic system.
$2,000,000 $1,000,000 $1,000,000 7 years
Sub Total $57,950,000 $38,600,000 $15,350,000 $4,000,000
Amended and reprinted 01/18/13
Funding Source
Proposed Roadway Improvements Projected Cost Mitigation Fee Redevelopment State & Federal Projected Project Timing (b)
Other Projects Projected Cost City Funds Redevelopment State & Federal
25 Implement Bicycle and Pedestrian Master Plan $5,300,000 $2,650,000 $2,650,000 7-20 years
26 Pedestrian bridge at Third/Hetherton – GGT
Transportation Center
$2,000,000 $500,000 $500,000 $1,000,000 Depends On SMART, 10-20 years
27 Pedestrian bridge to connect Canal to Andersen
Drive/Downtown.
$4,500,000 $1,125,000 $1,125,000 $2,250,000 10-20 years
28 Pedestrian bridge to connect Canal to Montecito
Shopping Center.
$4,000,000 $1,000,000 $1,000,000 $2,000,000 10-20 years
29 Freitas / Northbound 101 Ramps - Redwood-Civic
Center or a new flyover from Civic Center Dr. to
Freitas.
$12,000,000 $6,000,000 $6,000,000 Depends On Development Timing
30 Second Street (from E Street to east side of A
Street).
The projected volume requires right turn lanes or
through/right lanes be added in the long term.Right
of way required.
$6,000,000 $1,500,000 $3,000,000 $1,500,000 10-20 years
31 Pedestrian bridge over Canal between the Canal
and Montecito/Happy Valley neighborhoods.
$4,000,000 $1,000,000 $2,000,000 $1,000,000 10-20 years
32 North San Rafael Promenade $2,000,000 $1,000,000 $1,000,000 10-20 years
Sub Total Other Projects $39,800,000 $14,775,000 $7,625,000 $17,400,000
Grand Total Project Cost $97,750,000
(a)Priorities for circulation improvements are set in the Capital Improvements Program. This list may be amended as part of the five-year General Plan update.
(b)The timing for the improvements depends on the size, type and phasing of additional development. Policies LU -2 (Development Timing) requires findings when project-
related traffic will not cause the LOS to be exceeded.
Source: San Rafael Public Works Department