News Summary
The Coronado City Council has approved a 6% increase in the Regional Transportation Congestion Improvement Program fee, affecting new home constructions. Additionally, a new affordable housing in-lieu fee of $59 per square foot has been established, now the highest in San Diego County. These decisions are aimed at improving traffic infrastructure and addressing the affordable housing crisis in this coastal community, with serious implications for development and local residents.
Coronado City Council Makes Big Moves: Transportation Fees and Affordable Housing In-Lieu Fee on the Rise
In the charming coastal city of Coronado, recent decisions by the City Council are stirring up quite a conversation among residents. On April 15, the council took a significant step by approving a 6% increase in the Regional Transportation Congestion Improvement Program (RTCIP) fee. As of July 1, this fee will rise from $2,875.06 to $3,047.57 for every newly constructed home. This news doesn’t just affect homeowners; it has implications for the entire community, especially when it comes to traffic and infrastructure improvements.
Understanding the Fee Increase
The RTCIP fee is essential for Coronado and other cities looking to qualify for TransNet funding. Funded by a half-cent sales tax managed by the San Diego Association of Governments (SANDAG), TransNet helps cities improve their traffic infrastructure. So, what does the fee hike mean for Coronado? The money collected will go specifically towards projects on the busy State Route 75, which many residents rely on daily.
The RTCIP fee isn’t just a number on paper; it’s something that ties into bigger trends. This recent increase comes after officials carefully considered construction cost trends reported by SANDAG. Interestingly, while accessory dwelling units (ADUs) will be exempt from this fee, it’s clear that inflation has played a role in the decision-making process. One council member highlighted the financial challenges posed by maintaining the city’s heavily trafficked streets.
Developing Affordable Housing: A New In-Lieu Fee
But it doesn’t stop there; the City Council also approved a new in-lieu affordable housing fee. Starting at a stunning $59 per square foot, this new fee takes the title of the highest in San Diego County. In an effort to tackle the ongoing debate around affordable housing, the city’s municipal code now requires that subdivision projects with two or more lots reserve 20% of units for lower-income residents or choose to pay this new fee instead.
It’s worth noting that the previous in-lieu fee had remained unchanged since 1993 at just $7,000 per unit. Developers in Coronado have consistently opted to pay the in-lieu fee rather than reserve housing for lower-income residents. With these fees now contributing to a dedicated affordable housing fund, which currently holds a balance of $1.7 million, there is hope for future developments aimed at affordability.
Comparisons and Compliance
With Coronado now charging one of the highest affordable housing fees in the county, council members pointed out that the city has managed to keep its fees low for many years. Most areas in San Diego, for example, charge around $25 per square foot for their affordable housing in-lieu fee, while some regions go as high as $50 per square foot. Coronado’s decision to raise its fees aligns with state regulations, as the city must comply with the state’s Regional Housing Needs Assessment to support affordable housing initiatives.
As these new policies roll out, Coronado residents will want to keep an eye on how these changes will influence both the long-term community infrastructure and the pressing need for affordable housing. With both the RTCIP fee increase and the new in-lieu fee, Coronado is certainly making strides in addressing its transportation and housing needs. Whether that’s good news or bad news is still up for debate!
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Additional Resources
- Coronado Times: Coronado Increases Fees on New Construction
- Coronado News: City Council Discusses Island Express Free Summer Shuttle Programs
- San Diego Union-Tribune: Coronado Ferry Rides Will Cost $9
- Wikipedia: Coronado, California
- Coronado News: Council Receives Updates on Legislation, Transportation Programs, and More
Author: STAFF HERE CORONADO
The Coronado Staff Writer represents the experienced team at HERECoronado.com, your go-to source for actionable local news and information in Coronado, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Coronado Island Film Festival, productions at Lamb’s Players Theatre, community workshops at John D. Spreckels Center, and iconic celebrations at Hotel del Coronado. Our coverage extends to key organizations like the Coronado Chamber of Commerce and Visit Coronado, plus leading businesses in hospitality, dining, and tourism that drive the local economy. As part of the broader HERE network, including HERESanDiego.com, HEREHuntingtonBeach.com, HERELongBeach.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
