Bothell council adopts Title 17 update, adds affordable‑housing reduction to transportation impact fees

The Bothell City Council voted on March 10 to adopt amendments to Municipal Code Title 17, updating the city's transportation impact fees to reflect a multimodal level of service and to add affordability incentives.

The ordinance, introduced by staff and presented by Boyd Benson, Utilities and Development Services Manager, keeps most fee levels similar to current rates but adds a graduated reduction for affordable housing: up to an 80% fee reduction for projects at 0–30% of area median income (AMI), with progressively smaller reductions up to 80% AMI. The update also creates a 10% impact‑fee reduction for projects within a quarter‑mile of major transit routes and clarifies exemptions for limited interior change‑of‑use projects that do not alter a building's exterior or increase transportation impacts.

Benson told the council the change to a multimodal level of service aligns Bothell's policy with the 2024 comprehensive plan: "This update reflects vehicles, pedestrians and bicyclists, not just vehicle trips," he said during the presentation. Changes also simplify concurrency review to coincide more closely with land entitlements, staff said.

Council members asked for clarifications on how drive‑throughs and certain commercial conversions are treated. Staff said wholesale exterior changes, demolitions and new drive‑throughs would still pay full impact fees because those uses produce greater trip generation.

Council member Kurd moved to adopt the ordinance; Deputy Mayor Alder seconded. The clerk called the roll and the ordinance passed 6‑0 (one member absent). The ordinance lists an effective date of May 1, 2026.

What this means: The fee reductions aim to lower development costs for very low‑income housing while preserving a mechanism to fund street and multimodal projects identified in Bothell's transportation planning. Staff said they will publish administrative guidance and updated fee schedules ahead of the May 1 effective date.

The council packet and staff presentation compare Bothell's proposed fees with peer cities and include examples of the change‑of‑use exemption; staff emphasized the fiscal analysis shows the exemption has a small net cost compared with the potential development benefits. The council did not direct additional changes at the March 10 meeting.

The council approved the ordinance at the March 10, 2026 meeting; the city will post the adopted code language and fee schedule and provide implementation guidance to applicants.