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1. The purposes of the North Lathrop Transportation Impact Fee imposed by this Resolution are necessary to fund transportation system improvements for the Roth Rd. / I-5 Interchange and the associated frontage roads. Pursuant to the Lathrop Municipal Code Section 3.20.040 collected fees may be used for no other purpose. 2. The geographic area in which the fees will be imposed is the North Lathrop Study Area boundary map is contained in the North Lathrop Transportation Impact Fee report and Is hereby incorporated by reference herein. 3. The estimated reasonable costs for providing the transportation system improvements, are contained in the North Lathrop Transportation Impact Fee report and are hereby incorporated by reference and attached as Exhibit"A". 4. There is a reasonable relationship between the type of development projects on which the fee is imposed and the uses of the fees for off-site transportation system improvements, because, as set forth in the Report the development projects can be expected to generate traffic at the identified roadways. 5. There is a reasonable relationship between the amount of the fees and the cost of the specified public facilities attributable to the development projects on which the fee is imposed, because, as is set forth in the Report, the fees have been apportioned based upon a land use's anticipated traffic generation. BE IT FURTHER RESOLVED, that the City Council of the City of Lathrop, based on substantial evidence in the administrative record of proceedings and pursuant to its independent review and consideration, hereby established the following North Lathrop Transportation Impact Fee for the North Lathrop Area for transportation system improvements for the Roth Rd. / I-5 Interchange and the associated frontage roads at: $1,307.26 per vehicle traffic trip; and BE IT FURTHER RESOLVED, that these fees shall, automatically, and without further action of this Council, be adjusted on July 1, of each year, beginning July 1, 2012, to reflect the effects of inflation. The adjusted rates shall be calculated by multiplying the amounts set forth above by a factor that is equal to the then most current Bay Area Construction Cost Index published in the Engineering News-Record divided by the Construction Cost Index in effect as of the date Resolution. Additionally, the City Council may, following the procedures set forth in Chapter 3.20 of the Municipal Code, take future action to make other revisions to these rates; and Resolution No. 11-3132 Page 2 of 3