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City Manager Fialho reported the last time fees were adjusted was in 1998, prior to the old General Plan, and assume old growth projections. There are more projects contemplated today than in 1998. Those two variables influence the proposed fee amounts. Councilmember Pentin clarified the maximum amount is the maximum at build-out, not necessarily where the City is presently. City Manager Fialho reported the maximum amounts reflect the City's projections for new growth and assigns a percentage of the proposed capital facilities, in parks and facilities, to new growth. Traffic Engineer Mike Tassano addressed the transportation impact fees including total estimated costs of projects and applicable allocations to new developments, and provided a comparison of existing fees and proposed maximum fees. Councilmember Brown inquired whether the purpose of the fees is to ease traffic and Traffic Engineer Tassano responded affirmatively, adding the need to make sure, as the City grows, to maintain the levels of service specified by the General Plan. In some cases, projects will ease traffic, and in others, the improvements will help with better operation of intersections. Pedestrian/bicycle improvements are more of an enhancement as opposed to improvements in traffic flow. Assistant City Manager Brian Dolan referenced a San Jose case that challenged inclusionary housing fees where the City won its case and defended its affordable housing fee for "in lieu" inclusionary. The court justified use of local land-use power to implement an affordable housing fee similar to other land-use regulations. Staff moved forward with the study as it helps determine the fee amount. Once adopted, it will be done so under a different justification. He displayed a PowerPoint Presentation addressing the methodology for justifying the fee, including an affordability gap analysis, determining demand for affordable housing, and computing the impact fee. He reviewed a comparison of existing fees and proposed maximum fees for various land uses. Director of Finance Olson reported a facet of the study involved a comparison of fees from surrounding jurisdictions compared to the maximum fees identified for the City of Pleasanton. Councilmember Pentin inquired if fees for other jurisdictions are the current fees or maximum fees identified by a study. Director of Finance Olson reported they are each jurisdiction's current fees. Director of Finance Olson addressed median and average fee comparisons with other jurisdictions, next steps, and provided policy considerations. She noted actual fees may be set below the maximum limits and actual fees by category may vary as long as they are at or below the maximum. In response to Mayor Thorne's inquiry regarding combining total fees and comparing them with totals of other jurisdictions, Director of Finance Olson reported staff began that process, however, due to the affordable housing fee amount, it was making it difficult to review patterns. Staff decided to pull the affordable housing fee out of the analysis. Director of Finance Olson offered to provide that calculation. Mayor Thorne inquired regarding the other stakeholders and City Manager Fialho reported interested parties included the Homebuilders Association, the Hacienda Business Park, and various residents. Mayor Thorne suggested hosting a workshop for the public. Mayor Thorne inquired regarding DSRSD and Zone 7, to which City Manager Fialho confirmed they are not included in water and sewer rates. Mayor Thorne reported school impact fees were not included because they are set by the State through the School District and applicable developers. City Council Minutes Page 4 of 8 May 1, 2018