HomeMy WebLinkAbout6512 ORDINANCE NO. 6 5 1 2
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF AUBURN, WASHINGTON RELATING TO
STREET AND UTILITY PAYBACK AGREEMENTS,
ADDING A NEW CHAPTER 3.25 (PAYBACK
AGREEMENTS) TO THE AUBURN CITY CODE,
AND REPEALING CHAPTER 12.70 AND SECTIONS
13.08.070 AND 13.40.060 OF THE AUBURN CITY
CODE
WHEREAS, pursuant to Chapter 243 of the Laws of 2013, certain sections
of Chapter 35.91 of the Revised Code of Washington (RCW), including,
specifically, RCW Section 35.91.020, dealing with payback agreements, have
been amended , with those amendments becoming effective July 1, 2014; and
WHEREAS, in accordance with the changes to state law and RCW
35.91.020, it is appropriate that the Auburn City Code (ACC) dealing with
payback agreements for both streets and utilities the amended to reflect the state
law changes; and
WHEREAS, in connection with any such amendments to the City Code, it
would also be advantageous for the City to combine payback provisions into one
consistent - more uniform — chapter, rather than the current provisions whereby
payback provisions are located in several different chapters of the City Code.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, DO ORDAIN as follows:
Section 1. New City Code Chapter . That Title 3 of the Auburn City
Code be and the same hereby is amended by adding a new chapter, "3.25
Payback Agreements," to read as follows:
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Ordinance No. 6512
06.10.14
Page 1 of 7
Chapter 3.25
Payback Agreements
Sections:
3.25.010 Purpose.
3.25.020 Definitions.
3.25.030 City Funding.
3.25.040 Agreement—when mandatory.
3.25.050 City Engineer's authority.
3.25.060 Application — Process.
3.25.070 Costs eligible for reimbursement.
3.25.080 Formation of reimbursement area.
3.25.090 Contract execution and recording.
3.25.100 Implementation of agreement.
3.25.010 Purpose.
The purpose of this chapter is to provide a mechanism to reimburse an
eligible applicant and/or the city for costs associated with the construction of
public street or public utility system improvements. This chapter is intended to
implement and thereby make available to the public the provisions of Chapters
35.72 and 35.91 RCW as presently adopted or as may be subsequently
amended.
3.25.020 Definitions.
A. Use of Words and Phrases. As used in this chapter, unless the
context or subject matter clearly requires otherwise, the words or phrases
defined in this section shall have the indicated meanings.
B. "Applicant" means the owner, developer, or building permit
applicant who is required by any ordinance of the city to construct improvements
as a prerequisite of property development. Street or utility improvements
constructed in order to comply with the City's subdivision code, zoning code,
comprehensive plan, Title 12 ACC or Title 13 ACC are hereby declared to be
prerequisites to further property development for the purposes of RCW 35.72.010
and 35.91.020(1)(a).
C. "Assessment reimbursement area" means all real properties that
will benefit from a street or utility system improvement.
D. "Connection" for utility services means the initial provision of water,
sewer or storm drainage service for an individual property after the issuance of
an appropriate permit under Chapters 13.06 or 13.20 of the ACC, where the
property benefits from utility services as described in Section 3.25.100, and
which results in the creation of a utility payment account with the City, and
service fees being assessed under that account. Connection does not include the
physical tie-in or attachment of mainline water, sewer, or storm drainage
infrastructure to the City's system or to infrastructure being dedicated or
Ordinance No. 6512
06.10.14
Page 2 of 7
conveyed to the City after construction thereof as required under Chapter 13.40
ACC.
E. "Payback Agreement" means contracts authorized by Chapters
35.72 and 35.91 RCW and this chapter, as presently adopted or as may be
subsequently amended, for transportation or utility system improvements.
F. "Transportation system improvements" means such improvements
to the public street transportation facilities including, but not limited to, paving,
installation of curbs, gutters, storm drainage, sidewalks, street lights, right-of-way
landscaping, traffic signals, and traffic control signs and markings.
G. "Utility system improvements" means such improvements to the
public water, sewer, or storm drainage systems including, but not limited to
pumping stations, conveyance, distribution and service lines, structures, storm
drainage storage and treatment ponds/vaults, and disposal plants, water mains,
hydrants, reservoirs, wells, or appurtenances thereto.
3.25.030 City funding.
The City may participate in funding of an applicant's required street or
utility system improvements or may enact a street or utility payback agreement
for a city funded street or utility improvement project following a public hearing
and Council approval as specified in this chapter.
3.25.040 Agreement—when mandatory.
A. The City Council reserves the right to refuse to enter into any street
payback agreement or to reject an application therefor.
B. As provided for in RCW 35.91.020(1)(a), the City shall enter into a
utility payback agreement at the owner's request if the owner meets all conditions
set forth in the statute and code.
3.25.050 City Engineer's authority.
The City Engineer shall establish administrative rules, regulations,
policies, and procedures necessary to implement the provisions of this chapter
and is authorized and directed to execute payback agreements for public street
and utility system improvements upon council approval.
3.25.060 Application - Process.
An applicant required to construct street or utility system improvements on
public rights-of-way may apply to the city to establish a payback agreement for
recovery of a pro rata share of the costs of constructing the improvements, from
the property owners of record who will subsequently derive a benefit from the
improvements. Applications for a payback agreement shall be made to the City
no later than 30 calendar days before the system improvements have been
completed and accepted by the City, and shall include the following items:
A. A nonrefundable application fee in an amount as indicated in the
city's fee schedule.
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Ordinance No. 6512
06.10.14
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B. An estimate of all costs of the project including, but not limited to,
design engineering, permitting, property acquisition, construction engineering,
contract administration, surveying, and construction costs associated with the
system improvements.
C. A map and legal description identifying the proposed boundaries of
the assessment reimbursement area and each separately owned parcel within
such area and including the applicable amount of area and/or front footage of the
property. Such map shall identify the location of the project in relation to the
parcels of property in such area.
D. A preliminary assessment reimbursement roll stating the proposed
assessment for each separate parcel of property within the proposed
assessment reimbursement area as determined by apportioning the total project
cost on the basis of the benefit of the project to each such parcel of property
within said area. The payback reimbursement charge to other properties shall be
based on the total project cost, figured on a front foot or area assessment basis,
or other equitable method, as determined by the city, or any combination of these
methods at the reasonable discretion of the city engineer.
E. A complete list of record owners of property within the proposed
assessment reimbursement area certified as complete and accurate by the
applicant and which states names and mailing addresses for each such owner.
F. The applicant's acknowledgement that a street payback agreement
may extend for a period of up to 15 years (unless extended as provided for by
statute), and a utility payback agreement may extend for a period of not less than
20 years (unless extended as provided for by statute), from the date of final
acceptance by the city and the recovery shall be assigned to run with the land.
G. The applicant's acknowledgement that approval of the payback
agreement will be conditioned on the applicant agreeing to waive any claims for
liability of the city in establishment and enforcement of payback agreements,
including an acknowledgement that the city is not responsible for locating a
beneficiary or survivor.
H. The applicant's acknowledgement that it must provide sufficient
security to ensure to complete the improvements.
I. The applicant's acknowledgement that it must submit the total cost
of the improvements to the .City within 120 days of completion of the
improvements. The applicant shall, if necessary, provide a proposed final roll if
directed to do so by the City.
3.25.070 Costs eligible for reimbursement.
The City Council may provide for the reimbursement of all or part of the
costs advanced by the city funds and/or applicant for such street or utility system
improvements, including:
A. The design engineering, permitting, property acquisition,
construction engineering, contract administration, surveying, and construction
costs associated with the street or utility system improvements.
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Ordinance No. 6512
06.10.14
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B. The cost of all advertising, mailing and publishing of notices.
C. The cost of legal services and any other expenses incurred by the
city in connection with such construction or improvement and in the financing
thereof, including the issuance of any bonds.
D. City costs of administering the agreement.
E. Outside professional services as applicable.
Costs eligible for reimbursement to the applicant shall not include required
frontage street or utility improvements that would have been normally required of
the applicant per Chapters 12.64A, 13.08, or 13.40 ACC.
3.25.080 Formation of reimbursement area.
A. If the city engineer finds that the request complies with the
requirements of this chapter, a public hearing of the City Council shall be set for
consideration of an ordinance approving the payback agreement. The draft
ordinance shall constitute the preliminary determination on the assessment
reimbursement area and method of assessment as recommended by the city
engineer.
B. A notice of hearing on the proposed ordinance shall be published
no less than 20 days before the date of the hearing in a newspaper of general
circulation in the area of the assessment reimbursement area.
C. A notice of hearing shall be given to each owner of record of each
lot, tract or parcel of land or other property within the proposed reimbursement
assessment area by mailing by certified mail as shown on the tax rolls of the
county treasurer. The notice of hearing shall be mailed not less than 20 days
before the date of the hearing.
D. The notice shall refer to the proposed ordinance and designate the
proposed assessment reimbursement area by number and include the
information specified in ACC 3.25.060.
E, On the date and at the time specified in the notice, the City Council will
conduct a hearing and listen to testimony as it relates to the desirability and the
sufficiency of the proposed assessment reimbursement area and methods of
calculating reimbursement assessments and the amounts thereof. The City
Council may continue the hearing to allow for further information to be provided.
F. Following the hearing, the City Council may adopt an ordinance
which establishes the assessment reimbursement area, determines the amount
of the reimbursement assessment to be charged to each lot, tract or parcel, and
provides for the payment and collection of such assessments.
3.25.090 Contract execution and recording.
A. Within 30 days of final City Council approval of a street and utility
payback agreement, the applicant shall execute and present such agreement for
the signature of the appropriate city official.
B. The payback agreement shall be recorded in the King or Pierce
County department of records, as appropriate. Once recorded, the payback
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Ordinance No. 6512
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agreement is binding on property owners of record within the assessment area
who are not party to the agreement.
3.25.100 Implementation of agreement.
A. All owners of properties for which a payback agreement is in force
and who have not previously paid their fair share will be assessed the charge as
provided in the agreement at the time they receive benefit from the street or utility
system improvements. A property benefits from a street improvement when it
receives the beneficial use of the street as provided for in the payback
agreement. A property benefits from a water, sewer, or storm improvement when
any of the following occur: 1) the applicant applies for a water connection permit
under ACC 13.06.050; 2) the applicant applies for a sewer connection permit
under ACC 13.20.060 or, 3) the applicant applies for a storm drainage permit
under ACC 13.48.240. The payback assessments shall be based on the costs
and methodology identified in the approved payback agreement. Assessments
due under a payback agreement shall be paid in full before the city issuance of
any such permits.
B. Monies collected by the city will then be reimbursed to the applicant
within sixty days after the receipt thereof, for the duration of the agreement. The
applicant is required to provide changes of address or ownership every two years
from the date of the signing of the agreement. If the applicant fails to provide the
notification within 60 days of this date, the City may collect any reimbursement
funds owed to the applicant under the contract. The funds collected by the City
shall be deposited in the capital fund of the City.
Section 2. Repealer. Chapter 12.70 of the Auburn City Code is hereby
repealed in its entirety.
Section 3. Repealer. Section 13.08.070 of the Auburn City Code is
hereby repealed in its entirety
Section 4. Repealer. Section 13.40.060 of the Auburn City Code is
hereby repealed in its entirety.
Section 5. Implementation. The Mayor is hereby authorized to
implement such administrative procedures as may be necessary to carry out the
directions of this legislation.
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Ordinance No. 6512
06.10.14
Page 6 of 7
Section 6. Severability. The provisions of this ordinance are
declared to be separate and severable. The invalidity of any clause, sentence,
paragraph, subdivision, section or portion of this ordinance, or the invalidity of the
application thereof to any person or circumstance shall not affect the validity of
the remainder of this ordinance, or the validity of its application to other persons
or circumstances.
Section 7. Effective date. This Ordinance shall take effect and be
in force five days from and after its passage, approval and publication as
provided by law.
INTRODUCED: JUN 16 2014
PASSED: JUN 16 2014
APPROVED: JUN 16 2014
CITY OF AUBURN
NA CKUS, NIAYOR
ATTEST:
--.-,—Danielle E. Das cam, Ci y Clerk
APPR ED AS TO FORM:
a4e a;��—
Daniel B. Heid, City Attorney
Published', \c�,a—W\ _
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Ordinance No. 6512
06.10.14
Page 7 of 7
LANGUAGE TO BE REPEALED UNDER ORDINANCE NO. 6512
Chapter12.70
STREET PAYBACK AGREEMENTS
Sections:
12.70.010 Purpose.
12.70.020 Definitions.
12.70.030 City funding.
12.70.040 Agreement not mandatory.
12.70.050 City engineer's authority.
12.70.060 Application.
12.70.070 Application—Contents.
12.70.080 Costs eligible for reimbursement.
12.70.090 Formation of reimbursement area.
12.70.100 Contractexecution and recording.
12.70.110 Implementation of agreement.
12.70.010 Purpose.
The purpose of this chapter is to provide a mechanism to reimburse an eligible applicant.and/or the city
for costs associated with the construction of public street system improvements.This chapter is
intended to implement and thereby make available to the public the provisions of Chapter 35J2 RCW as
presently adopted or as may be subsequently amended. (Ord. 6319 § 1, 2010.)
12.70.020 Definitions.
A. Use of Words and Phrases.As used in this chapter, unless the context or subject matter clearly
requires otherwise, the words or phrases defined in this section shall have the indicated meanings.
B. "Assessment reimbursement area" means all real properties that will benefit from a street
system improvement.
C. "Street system improvements" means such improvements to the public street transportation
facilities including, but not limited to, paving, installation of curbs, gutters, storm dreinage, sidewalks,
street lights, right-of-way landscaping, traffic signals, and traffic control signs and markings.
D. "Applicant" means the owner, developer,or building permit applicant who is required by any
ordinance of the city, or as the result of review under the State Environmental Policy Act, or in
connection with any discretionary decision of the city council to construct street system improvements
which do not abut the development site.
E, "Street payback agreement" means contrects authorized by Chapter 35.72 RCW and this
chapter, as presently adopted or as may be subsequently amended,for street system improvements.
(Ord. 6319 § 1, 2010.)
12.70.030 City funding.
The city may participate in funding of an applicant's required street system improvements or may enact
a street payback agreement for a city funded street impro4ement project following a public hearing and
councii approval as specified in this chapter. (Ord. 6319 § 1, 2010.)
12.70.040 Agreement not mandatory.
The city council reserves the right to refuse to enter into any street payback agreement or to reject an
application therefor. (Ord. 6319 § 1, 2010.)
12.70.050 City engineer's authority.
The city engineer shall establish administretive rules, regulations, policies, and procedures necessary to
implement the provisions of this chapter and is authorized and directed to execute payback agreements
for public street system improvements upon council approval. (Ord. 6319 § 1, 2030.)
12.70.060 Application.
An applicant required to construct street system improvements on public rights-of-way may apply to the
city to establish a street payback agreement for recovery of a pro rata share of the costs of constructing
the street system improvements, from the property owners of record who will subsequently derive a
benefit from the improvements. (Ord. 6319 § 1, 2010.)
12.70.070 Application—Contents.
Applications for a street payback agreement may be made to the city after construction of the street
system improv8ments have been completed and shall include the following items:
A. A nonrefundable application fee in an amount as indicated in the city's fee schedule.
B. Itemization of all costs of the project including, but not limited to, design engineering,
permitting, property acquisition, construction engineering, contract administration, surveying, and
� construction costs associated with the street system improvements.
C. A map and legal description identifying the proposed boundaries of the assessment
reimbursement area and each separately owned parcel within such area and including the applicable
amount of area and/or front footage of the property.Such map shall identify the location of the project
in relation to the parcels of property in such area.
D. A proposed assessment reimbursement roll stating the proposed assessment for each separate
pa�cel of property within the proposed assessment reimbursement area as determined by apportioning
the total project cost on fhe basis of the benefit of the project to each such parcel of property within
said area.
E. A complete list of record owners of property within the proposed assessment reimbursement
area certified as complete and accurate by the applicant and which states names and mailing addresses
for each such owner.
F. The applicant's acknowledgement that the street payback agreement may extend for a period of
up to 15 years from the date of final acceptance by the city and the recovery shall be assigned to run
with the land.
G. The applicant's acknowledgement that approval of the street payback agreement will be
conditioned on the applicant agreeing to wai4e any claims for liability of the city in establishment and
enforcement of payback agreements, including an acknowledgement that the city is not responsible for
locating a beneficiary or survivor. (Ord. 6319 § 1, 2010.)
12.70.080 Costs eligible for reimbursement.
The council may provide for the reimbursement of all or part of the costs advanced by the city funds
and/or applicant for such street system improvements, including:
A. The design engineering, permitting, property acquisition, construction engineering, contract
administration, surveying, and constrOction costs associated with the street system improvements.
B. The cost of all advertising, mailing and publishing of notices.
C. The cost of legal services and any other expenses incurred by the city in connection with such
construction or improvement and in the financing thereof, including the issuance of any bonds.
D. City costs of administering the agreement.
E. Outside professional services as applicable.
Costs eligible for reimbursement to the applicant shall not include required fron[age street
improvements that would have been normally required of the applicant per Chapter 12.64A ACC. (Ord.
6319§ 1, 2010.)
12.70.090 Formation of reimbursement area.
A. If the city engineer finds that the request complies with the requirements of this chapter, a
public hearing of the city council shall be set for consideration of an ordinance approving the street
payback agreement.The draft ordinance shall constitute the preliminary determination on the
assessment reimbursement area and method of assessment as recommended by the city engineer.
B. A notice of hearing on the proposed ordinance shall be published no less than 20 days before
the date of the hearing in a newspaper of general circulation in the area of the assessment
reimbursement area.
C. A notice of hearing shall be given to each owner of record of each lot, tract or parcel of land or
� other property within the proposed reimbursement assessment area by mailing by certified mail as
shown on the faz rolls of the county treasurer.The notice of hearing shall be mailed not less than 20
days before the date of the hearing.
D. The notice shall refer to the proposed ordinance and designate the proposed assessment
reimbursement area by number and include the information specified in ACC 12.70.070.
On the date and at the time specified in the notice,the council will conduct a hearing and listen to
testimony as it relates to the desirability and the sufficiency of the prbposed assessment reimbursement
area and methods of calculating reimbursement assessments and the amounts thereof.The council may
continue the hearing to allow for further information to be provided.
E. Following the Fiearing, the council may adopt an ordinance which establishes the assessment
reimbursement area, determines the amount of the reimbursement assessment to be charged to each
lot,tract or parcel,and provides for the payment and collection of such assessments. (Ord. 6319§ 1,
2010.)
12.70.100 Contrect execution and recbrding.
Within 30 days of final city council approval of a street payback agreement, the applicant shall execute
and present such agreement for the signature of the appropriate city official.
7he payback agreement shall be recorded in the King or Pierce County department of records, as
appropriate. Once recorded,the payback agreement is binding on property owners of record within the
assessment area who are not party to the agreement. (Ord. 6319 4 1, 2030.)
12.70.130 Implementation of agreement.
A. All owners of properties for which a street payback agreement is in force and who have not
previously paid their fair share will be assessed the charge as providetl in the agreement at the time
they receive benefit from the street system improvements. Benefiting properties are those properties
engaging in activities described in ACC 12.64A.020.7he payback assessments shall be based on the costs
and methodology identified in the approved street paytiack agreement. Latecomer assessments shall be
paid in full before the city issuance of any such permits.
B. Monies collected by the city will then be reimbursed to the applicant at six-month intervals for
the duration of the agreement.The applicant is required to provide changes of address or ownership
not later than the anniversary date of the signing of the agreement, If the applicant fails to update its
address or ownership, the city is not responsible for not remitting payments. (Ord. 6319§ 1, 2010.)
13.08.070 Payback agreement.
The city engineer is authorized and directed to execute payback agreements at the request of the
developer upon city council approval. All payback agreements shall be executed pursuant to ACC
13.40.060. (Ord. 5850 4 1, 2004; Ord. 5212 § 1 (Exh. H), 1999; Ord.4760 4 1, 1995; 1957 code §
10.10.070.) �
13.08.080 Connectionson unassessed property—Charge—Generally.
Repealed by Ord. 5850. (Ord. 5212 4 1 (Exh. H), 1999; 1957 code § 10.30.080.)
13.08.090 Connectionsonunassessedproperty—Charge—Payments—Nonpaymentaction.
Repealed by Ord. 5850. (Ord. 5212 § 1 (Ezh. N), 1999; Ord. 3608 4 1, 1981; Ord, 3396§ 1, 1979; Ord.
2761 § 1, 1973; 1957 code § 30.10.090.)
13.40.060 Payback agreement—Utilities.
A. The city engineer is authorized and directed to execute payback agreements for water, storm
drainage and sanitary sewer facilities at the request of the deVeloper upon city council approval.The
agreement shall be executed in conformance with the fatility extension requirements of this chapter.
B. The payback reimbursement charge to other properties shall be based on the total project cost,
figured on a front foot or area assessment basis,or other equitable method, as determined tiy the city,
or any combination of these methods at the reasonable discretion of the city engineer. The project costs
may include all applicable design and construction charges of the project submitted by the developer
and approved by the city.
C. All properties connecting to water, storm drainage and sanitary sewer facilities for which a
payback agreement is in force and which property lias not been assessed the connection fee as provided
in the payback agreement or has not tiorne an equitable share of costs of such public system shall be
subject to a payback connection charge. The connection charge shall be based on a pro rata share of the
costs as stated in the payback agreement at the reasonable discretion of the city engineer antl approved
kiy the city council. Payment of the payback charge shall be made in full to the city prior to connecting to
the water, storm drainage,or sanitary sewer facilities.
D. An administrative fee will be assessed for the processing of payback agreements as per the city
of Auburn fee schedule. (Ord. 6265 4 1, 2009; Ord. 5995 4 1, 2006; Ord. 5954§ 1, 2005; Ord. 5903 4 1,
2005; Ord. 5791 §4, 2003; Ord.4759 § 1, 1995.)