Pasadena
City Council
Agenda Item 4
4.\nPUBLIC MEETING: RECOMMENDED TRAFFIC REDUCTION AND TRANSPORTATION IMPROVEMENT FEE (Transportation Dept.)\nRecommendation: It is recommended that the City Council:\n(1)\nFind that the actions proposed in the agenda report are statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to\nState CEQA Guidelines Section 15273 (Rates, Tolls, Fares, and Charges); and\n(2)\nSubsequent to this Public Meeting and after conducting a public hearing on October 27, 2025, conduct first reading of an Ordinance\nAmending Title 4, Chapter 4.19, Sections 4.19.020, 4.19.040, 4.19.050, and 4.19.060, to\nUpdate the Traffic Reduction and Transportation Improvement Fee for Existing Land Use Categories and to add New Land Use Categories to the\nFee Structure; and adopt the Recommended Traffic Reduction and Transportation\nImprovement Fee Update in the Schedule of Taxes, Fees, and Charges.\nCity Council Decision and Need for Public Hearing: Department of Transportation (DOT) staff presented the methodology and findings of the\nnexus study, as well as staff recommendations to the Municipal Services Committee\n(MSC) on July 8, 2025. The Committee approved the staff recommendation with an amendment that either no fees be assessed for Accessory\nDwelling Units (ADU) (because the fees imposed would be de minimis) or that staff\nprovide an alternative recommendation to City Council for ADU fees. Staff revised the recommendations accordingly, to exempt ADUs to 900 square\nfeet or less, and to waive the Traffic Reduction and Transportation Improvement\nFee (TR/TIF) for ADUs governed by a Housing Agreement. Staff presented the revised recommendations at the City Council meeting on July 14,\n2025, and the Council approved the recommendations.\nCalifornia Government Code Section 54954.6 states that before adopting any new or increased general tax assessment, the City Council must\nconduct at least one public meeting before the public hearing. While the TR/TIF\nrates are decreasing for most land uses, the TR/TIF rate for one land use (medical office) is increasing compared to the current fee. As such, staff is\npresenting the TR/TIF update before the City Council on October 20, 2025.\nStaff will then plan to open and close the public hearing on October 27, 2025, and formally adopt the TR/TIF update through an ordinance. The\nnotice of public meeting for this item was published in the Pasadena Press on September\n15, September 22, and September 29 of 2025.\nRecommendation of the Transportation Advisory: DOT staff presented the methodology and findings of the nexus study, as well as staff\nrecommendations, to the Transportation Advisory Commission (TAC) on March 27, 2025\nand at a special meeting on April 14, 2025. The TAC discussed the addition of the new proposed land use categories and whether this may\nencourage or discourage the development of certain types of land uses in the City. The\nTAC approved the following motion: Support the fees as recommended, and urge council to consider if the reallocation of the fee categories may\nprovide better outcomes on future development.