Mitigation Fee Act: mitigating vehicular traffic impacts.

Senator Becker's proposal to modify California's Mitigation Fee Act would establish mandatory fee reductions for housing developments that meet specific transit-oriented criteria, replacing the current system of locally determined rates based on public hearings.

The legislation requires local agencies to reduce traffic mitigation fees by at least 50% for housing developments that satisfy three conditions: location within a transit priority area with a major transit stop planned within one year of occupancy, proximity to retail food stores within a half-mile, and limited onsite parking of one space for units with up to two bedrooms and two spaces for larger units. The bill also prohibits local agencies from requiring land dedications for road widening to address traffic impacts, except for developments outside transit priority areas with over 500 feet of street frontage or when specific safety findings are documented.

These changes alter how local agencies can assess and collect traffic mitigation fees from housing developers. While the current law allows agencies to maintain standard fee rates if they document through public hearings that a development's characteristics would not reduce vehicle trips, the proposed legislation removes this option and mandates the reduced rate structure for qualifying projects. The bill includes provisions for state reimbursement to local agencies if the Commission on State Mandates determines the requirements impose new costs.