Redwood City’s Impact Fees is a Win for Affordable Housing and Quality Jobs.

On October 26, the Redwood City Council adopted an Affordable Housing Impact and Commercial Linkage Fees program. This decision is a great step forward in ensuring that all residents are able to benefit from Redwood City’s recent and continuing economic growth.

Our communities need both affordable housing and quality jobs. The lack of affordability is a complex problem that needs to be addressed by building more affordable housing and protecting tenants’ rights as well as providing quality jobs for the local workforce. While many cities in the Bay Area have adopted housing and commercial impact fees to finance much needed affordable housing units, the program in Redwood City is unique in that it includes an incentive for projects that pay family-sustaining wages and benefits (Area Standard Wages) to construction workers. The City Council adopted the fees shown on the table below and requested staff to come back with the details on the incentive program at a future City Council meeting.

This innovative policy is a testament to the power of labor and affordable housing advocates working together. The San Mateo County Union Community Alliance is looking forward to continuing working with the San Mateo County Building Trades, the Housing Leadership Council and the Development Impact Fee Coalition to replicate and improve this model policy across the county.

Adopted Housing and Commercial Impact Fees

Unit Type Fee / Sq. Ft. Minimum Project Size
Condos and Apartments $20 5 or More Net New Units for Residential Projects
Single Family $25
Townhome, Duplex and Triplex Developments $25
Office $20 More than 5,000 square feet of Net New Construction for Commercial Projects
Hotel $5
Retail and Restaurant $5

Source: RWC staff report (October 26, 2015)

For more information, please contact Belén Seara at searamb@gmail.com.

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