The Land Use and Transportation Committee voted to forward an ordinance amending the building and planning codes to codify a fee-deferral approach for development impact fees consistent with state law (SB 937).

Sponsor Supervisor Ayesha Mahmood said development impact fees can exceed $10,000 per unit and historically were collected before permit issuance; SB 937 postpones collection for certain projects until issuance of a temporary or permanent certificate of occupancy. The ordinance before the committee codifies the state's deferral approach and centralizes fee-due-date provisions in the building code to simplify public guidance.

Planning Department staff reported the Planning Commission recommended approval on consent. Housing advocates from the Housing Action Coalition testified in support, emphasizing that deferring impact fees to occupancy reduces predevelopment financing pressure and increases the likelihood projects reach completion.

The committee voted to recommend the ordinance to the full Board with a positive recommendation (three ayes). The measure will proceed to the Board of Supervisors for final consideration.