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HomeMy WebLinkAbout6696 ORDINANCE NO. 6696 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON RELATED TO INFRASTRUCTURE PAYBACK AGREEMENTS, AMENDING CHAPTER 3.25 OF THE AUBURN CITY CODE WHEREAS, Chapter 3.25 of the Auburn City Code authorizes developers, property owners, and the City who build improvements to the City's infrastructure to recover a portion of their costs from other property owners that benefit from those improvements; and, WHEREAS, after reviewing the current process, staff recommends adding clarifying language that will make the City's administration of the process more efficient, and that will provide better notification to the benefited property owners. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, DO ORDAIN as follows: Section 1. Amendment to City Code. Chapter 3.25 of the Auburn City Code is amended to read as shown in Exhibit A. Section 2. Implementation. The Mayor is authorized to implement those administrative procedures necessary to carry out the directions of this legislation. Section 3. 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 of this ordinance to any person or circumstance will not affect the Ordinance No. 6696 October 22, 2018 Page 1 of 2 validity of the remainder of this ordinance, or the validity of its application to other persons or circumstances. Section 4. 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: NOV 0 5 2018 NOV 05 2018 PASSED: NOV 03 :2018 APPROVED:rt c. ANCY B A,� '` S, MAYOR ATTEST: Shawn Campbell, MMC, City Clerk APPROVED A S TO FORM: 10A/Ltt Steven L. Gross, City Attorney Published:c—N2ovQ�-.\�� 3 , .1_0\� `—�'`—�--\-- s'..---� Ordinance No. 6696 October 22, 2018 Page 2 of 2 EXHIBIT A Auburn Municipal Code Page 1/4 Chapter 3.25 PAYBACK AGREEMENTS 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 - . .• . - - -. '-the provisions of Chapters 35.72 and 35.91 RCW as presently adopted or as may be subsequently amended.(Ord.6512§ 1,2014.) 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,and ACC Title 12 or 13 are herehy-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 ACC,where the property benefits from utility services as described in ACC 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 conveyed to the city after construction thercofofthat infrastructure that isas 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 sash-those 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 those 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 those systems.(Ord.6512§ 1,2014.) The Auburn Municipal Code is current through Ordinance 6679,and legislation passed through March 19,2018. EXHIBIT A Auburn Municipal Code Page 2/4 Chapter 3.25 PAYBACK AGREEMENTS 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.(Ord.6512§ 1,2014.) 3.25.040 Agreement-When mandatory. A.The city council reserves the right to refuse to enter into any street payback agreement as allowed by law- B.As provided for in RCW 35.91.020(1)(a),the city shall-will enter into a utility payback agreement at the owner's request if the owner meets all conditions set forth in the statute and code.(Ord.6512§ 1,2014.) 3.25.050 City engineer's authority. The city engineer sltallwill 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 upenefter council approval.The city engineer will determine eligibility consistent with Chapters 35.72 and 35.91 RCW.(Ord.6512§ 1,2014.) 3.25.060 Application-Process. For each• • .- public street or utility system improvements he applicant is required to construct that is determined by the city engineer to be eligible for a payback agreement,the applicant may apply to the city to establish a payback agreement improvements.The application must be received not later than 10 business days after the date that the City's letter of eligibility is postmarked,or the applicant will be.deemed.to have waived the right to request a payback agreement. The application to enter into a payback agreement :: -. • • -:••:• . • :- ••.:. : '• •: must include all the following items: A.A nonrefundable application fee in an-the amount as-indicated-specified in the city's fee schedule. 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 that area and including the applicable amount of area and/or front footage of the property.&Ash-The map slrallwill identify the location of the project in relation to the parcels of property in such- the 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-the area.The payback reimbursement charge to other properties shallwill 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 sueh-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. The Auburn Municipal Code is current through Ordinance 6679,and legislation passed through March 19,2018. EXHIBIT A Auburn Municipal Code Page 3/4 Chapter 3.25 PAYBACK AGREEMENTS 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. e-city.(Ord.6512§ 1,2014.) 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 the 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. 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 see-h-the construction or financing of the improvement and in the fnancing 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 shallwill not include re iredi-frontage street or utility improvements that would have been normally required of the applicant per Chapters 12.64A, 13.08,or 13.40 ACC. (Ord.6512§ 1,2014.) 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 he of•the city council will conduct a public hearing.shallto be set for consider mien-ef-an ordinance approving the payback agreement.The draft ordinance shallwill 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 shallwill 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 shallwill 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 to the address as-shown on the tax rolls of the county treasurer.The notice of hearing shallw ill be mailed not less than 20 calendar days before the date of the hearing. D.The notice shallwill refer to the proposed ordinance and designate the proposed assessment reimbursement area by number and include the information specified in ACC 3.25.060 and the amount of the proposed payback amounts for each property. 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 thercofapportioned to each property.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.(Ord.6512§ 1,2014.) The Auburn Municipal Code is current through Ordinance 6679,and legislation passed through March 19,2018. EXHIBIT A Auburn Municipal Code Page 4/4 Chapter 3.25 PAYBACK AGREEMENTS 3.25.090 Contract execution and recording. A. • . . -• --. . . . • .. ... .• - ..-. The applicant shallwill provide a signed copy of the payback agreement to the City no later than 20 business days before it is scheduled for final Council approval. : • _ . B.The payback agreement shallwill 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.6512§ 1,2014.) 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 shareassessment 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 shallwill be based on the costs and methodology identified in the approved payback agreement.Assessments due under a payback agreement shallwill be paid in full before the city issuance of any such applicable permits. B.Monies collected by the city(less the payment processing fee established in the City's fee schedule)will then-be reimbursed to the applicant within 60 days after the City's receipt • •: , - •: :- '-• _ •- •• -- :• .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 and shall not reimburse those funds to the applicant. Any money4=he-€ands collected by the eCity and not refunded to the applicant shallwill be deposited in the City's capital fund of the city.(Ord.6512§ 1,2014.) The Auburn Municipal Code is current through Ordinance 6679,and legislation passed through March 19,2018.