Public Facility Fees

Questions and Answers

1. What are Public Facility Fees?

Public Facility Fees are used to pay for the infrastructure, equipment and facilities necessary to meet the demand attributable to commercial and residential development. These fees are often called AB 1600 fees because they were established in response to Assembly Bill 1600, which placed restrictions on the establishment, collection and expenditure of monies collected for public facilities.

2. Who has to pay?

Every project requiring a discretionary zoning permit or a building permit is required to pay Public Facility Fees except the following:

a. Certain subdivisions where the tentative map was approved prior to the establishment of Public Facility fees and the Final Map was approved after the fees were in place.
b. A residential addition, remodel, alteration or repair that adds less than sixty (60) square feet of habitable space, as defined by the California Building Code.
c. Any commercial or industrial remodel, alteration or repair that does not create additional floor area in an existing structure.

3. What public improvements are included in these fees?

Public facilities/services provided by these fees include Police, Fire, Library, Parks & Recreation, Water/Wastewater, Administration, roadways, and storm drains.

4. If I live in Serramonte, do I have to pay for public improvements in the Bayshore or along Mission Street?

The City has established a citywide Benefit Zone; certain public improvements made within the City boundary benefit all development regardless of their location. For example, a fire station is part of an integrated delivery system and it mutually assists all other fire stations. Therefore, a fire station built in the Bayshore benefits all Daly City residents.

5. Why do fees vary across the City?

The City is divided into eleven (11) benefit zones. All eleven benefit Zones pay a citywide fee plus any additional roadway or storm drain fees applicable to the specific benefit zone. Areas with additional improvements will obviously pay more than the base citywide rate.

6. What happens with the fees collected?

The money that is collected from this program is then used for capital improvements. For example, the recently completed Police Telecommunication Center was funded through public facility fees.


Please call the Building Division at (650) 991-8061 if you need additional information.


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