ABSTRACT
A proposed commercial development on a parcel adjacent to a busy intersection is up for conditional use approval by the city council. The city council conditions approval of the development on the developer providing the funds to pay the full cost of the traffic signal. The major issue is whether there is proportionality between the need created by the new development and the exaction. The proposed development probably contributes only to some of the traffic requiring the signal. The city commissions a study which concludes that the costs of expanding current services and adding new services are directly proportional to the amount of peak-period city transit use generated by new development. It recommends that a fee be imposed that reflects the benefits to be conferred on new development by increasing peak-period capacity to accommodate passengers generated by the new offices.
