The system development charges imposed herein are separate from and in addition to any applicable tax, assessment, charge or fee otherwise provided by law or imposed as a condition of development.
(Ord. 1938, passed 9-8-97)
For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
Capital Improvements. Facilities or assets used for:
(1) Water supply, treatment and distribution;
(2) Sewer and wastewater collection, transmission, treatment and disposal;
(3) Drainage and flood control;
(4) Transportation; or
(5) Parks and recreation.
Development. Conducting a building or mining operation, making a physical change in the use or appearance of a structure or land, or creating or terminating a right of access.
Improvement Fee. A fee for costs associated with capital improvements to be constructed after the date the fee is adopted pursuant to the provisions of this subchapter.
Land Area. The area of a parcel of land as measured by projection of the parcel boundaries upon a horizontal plane with the exception of a portion of the parcel within a recorded right of way or easement subject to a servitude for a public street or scenic or preservation purpose.
Owner. The Owner(s) of record title or the purchaser(s) under a recorded sales agreement, and other persons having an interest of record in the described real property.
Parcel of Land. A lot, parcel, block or other tract of land that is or may be occupied by a structure or structures or other use, and that includes the yards and other open spaces required under the zoning, subdivision or other development ordinances.
Permittee. The person to whom a building permit, development permit or right of way access permit is issued.
Qualified Public Improvement. A capital improvement that is:
(1) Required as a condition of development approval;
(2) Identified in the System Development Charge Fund Project Plan; and
(3) Not located on or continuous to a parcel of land that is the subject of the development approval.
Reimbursement Fee. A fee for costs associated with capital improvements constructed or under construction on the date the fee is adopted pursuant to the provisions of this subchapter.
System Development Charge. A reimbursement fee, an improvement fee or a combination thereof assessed or collected at the time of increased usage of a capital improvement, at the time of issuance of a development permit or building permit, or at the time of connection to the capital improvement. System Development Charges does not include fees assessed or collected as part of a local improvement district or a charge in lieu of a local improvement district assessment, or the cost of complying with requirements or conditions imposed by a land use decision.
(Ord. 1938, passed 9-8-97)
Unless exempted pursuant to herein, a systems development charge is hereby imposed upon all development within the city.
(Ord. 1938, passed 9-8-97)
Systems development charges shall be established and may be revised by resolution of City Council. The resolution shall set the amount of the charge, the type of permit to which the charge applies, and, if the charge applies to a geographic area smaller than the entire city, the geographic area subject to the charge.
(Ord. 1938, passed 9-8-97)
(A) The methodology used to establish the reimbursement fee shall consider the cost of the then existing facilities, prior contributions by then existing system users, the value of unused capacity, rate making principles employed to finance publicly owned capital improvements, and other relevant factors identified by the City Council. The methodology shall promote the objective that future systems users shall contribute not more than an equitable share of the cost of then existing facilities.
(B) The methodology used to establish the improvement fee shall consider the cost of projected capital improvements needed to increase the capacity of the systems to which the fee is related and other relevant factors identified by the City Council.
(C) The methodology used to establish the improvement fee or the reimbursement fee, or both, shall be adopted by resolution.
(Ord. 1938, passed 9-8-97)
(A) Reimbursement fees shall be applied only to capital improvements associated with the systems for which the fees are assessed, including expenditures relating to repayment of indebtedness.
(B) Improvement fees shall be spent only on capacity increasing capital improvements, including expenditures relating to repayment of debt for improvements. An increase in system capacity occurs if a capital improvement increases the level of performance or service provided by existing facilities or provides new facilities. The portion of the improvements funded by improvement fees must be related to demands created by projected development.
(C) Capital improvement being funded wholly or in part from revenues derived from the improvement fee shall be included in the Systems Development Charge Fund Project Plan adopted by the city.
(D) System development charge revenues may be expended on the direct costs of complying with the provisions of this subchapter, including the costs of developing system development charge methodologies and providing an annual accounting of system development charge funds.
(Ord. 1938, passed 9-8-97)
(A) The City Council shall adopt by resolution the Systems Development Charge Fund Project Plan. This plan:
(1) Defines the amount of current or under construction capacity available for new development and the cost of the facilities comprising this capacity;
(2) Lists the capital improvements that may be funded with improvement fee revenues; and
(3) Lists the estimated cost and estimated construction time frame of each improvement.
(B) In adopting this plan, the City Council may incorporate by reference all or a portion of any public facilities plan, master plan, capital improvements plan or similar plan that contains the information required by this section. The City Council may modify this project plan at any time through the adoption of an appropriate resolution.
(Ord. 1938, passed 9-8-97)
(A) The systems development charge is payable upon issuance of:
(1) A building permit;
(2) A development permit for development not requiring the issuance of a building permit;
(3) Approval to connect or increase the usage of the system or systems provided by the city; or
(4) A right of way access permit.
(B) The resolution which sets the amount of the charge shall designate the permit or systems to which the charge applies.
(C) The City Manager or his designee shall collect the applicable system development charge from the permittee or system user.
(D) The City Manager or his designee shall not issue the permit or allow connection or increased usage of the system(s) until the charge has been paid in full, unless an exemption is granted pursuant to § 34.09.
(E) All moneys collected through the system development charge shall be retained in a separate fund and segregated by type of system development charge and by reimbursement versus improvement fees.
(Ord. 1938, passed 9-8-97)
(A) Exemptions include all structures and uses established and existing on or before the effective date of the resolution.
(B) Additions to single family dwellings that do not constitute the addition of a dwelling unit as defined by the city's Building Code are exempt from all portions of the system development charge.
(C) An alteration, addition, replacement or change in use that does not increase the parcel's or structure's use of a capital improvement are exempt from all portions of the system development charge.
(Ord. 1938, passed 9-8-97)
(A) A permittee is eligible for credit against the system development charge for constructing a qualified capital improvement. A qualified capital improvement means one that meets all of the following criteria:
(1) Is required as a condition of development approval by the city;
(2) Is identified in the adopted System Development Charge Fund Project Plan; and
(3) Is not located within or contiguous to the property or parcel that is subject to development approval; or
(4) Is not located in whole or in part on, or contiguous to, property that is the subject of development approval and required to be built larger or with greater capacity than is necessary for the particular development project to which the improvement fee is related.
(B) This credit shall be only for the improvement fee charged for the type of improvement being constructed. Credit under this section may be granted only for the cost of that portion of the improvement that exceeds the facility size or capacity needed to serve the development project.
(C) In applying the adopted methodology, the city may grant a credit against the improvement charge for capital facilities provided as part of the development that reduces the development's demand upon existing capital improvements or the need for further capital improvements or that would otherwise have to be constructed at city expense under the then existing City Council policies.
(D) When the construction of a qualified public improvement gives rise to a credit amount greater than the improvement fee that would otherwise be levied against the project receiving development approval, the excess credit may be applied against improvement fees that accrue in subsequent phases of the original development project.
(E) All credit requests must be in writing and filed with the city before the issuance of a building permit. Improvement acceptance shall be in accordance with the usual and customary practices, procedures and standards of the city. The amount of any credit shall be determined by the city and based upon the subject improvement construction contract documents, or other appropriate information, provided by the applicant for the credit. Upon a finding by the city that the contract amounts exceed prevailing market rate for a similar project, the credit shall be based upon market rates. The city shall provide the applicant with a credit on a form provided by the city. The credit shall state the actual dollar amount that may be applied against any system development charge imposed against the subject property. The applicant has the burden of demonstrating qualification for a credit.
(F) Credits shall be apportioned against the property which was subject to the requirements to construct an improvement eligible for credit. Unless otherwise requested, apportionment against lots or parcels constituting the property shall be proportionate to the anticipated public facility service requirements generated by the respective lots or parcels. Upon written application to the city, however, credits shall be reapportioned from any lot or parcel to any other lot or parcel within the confines of the property originally eligible for the credit. Reapportionment shall be noted on the original credit form retained by the city.
(G) Any credits may be assigned; however, they shall apply only to that property subject to the original condition for land use approval upon which the credit is based or any partitioned or subdivided parcel or lots of property to which the credit has been apportioned. Credits shall only apply against system development charges, are limited to the amount of the fee attributable to the development of the specific lot or parcel for which the credit is sought and shall not be a basis for any refund.
(H) Any credit request must be submitted before the issuance of a building permit. The applicant is responsible for presentation of any credit and no credit shall be considered after issuance of a building permit.
(I) Credits shall be used by the applicant within ten years of their issuance by the city.
(Ord. 1938, passed 9-8-97)
(A) The city shall maintain a list of persons who have made a written request for notification prior to adoption or amendment of the system development charge methodology. These persons shall be so notified in writing of any proposed changes at least 45 days prior to the first hearing to adopt or amend methodology(ies). This methodology shall be available at least 30 days prior to the public hearing.
(B) No challenge to the system development charge methodology shall be accepted after 60 days following final adoption by the City Council.
(Ord. 1938, passed 9-8-97)
The city shall provide an annual accounting for system development charges showing the total amount of system development charges collected for each system along with a list of projects funded in whole or in part through system development charges.
(Ord. 1938, passed 9-8-97)
Cross-reference:
Public contracts, see Ch. 35
This subchapter shall be known as the Improvement District Ordinance of the city.
(Ord. 431, passed 8-23-61)
For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
Local Improvement. Opening, laying, widening, extending, altering, changing the grade of, constructing, reconstructing, or repairing any street, alley, curb, gutter and sidewalk; constructing, reconstructing or repairing any sewer, drain, or system thereof; laying or installing any water main or lateral; acquiring, establishing, or reconstructing any off street motor vehicle parking facilities; acquisition of land and equipment for installation of park, playground or neighborhood recreation facility; installation of underground wiring, ornamental street lights; or performing any other public work for which an assessment may be made on the property specially benefited.
Lot. Lot, block or parcel of land.
Owner. The owner of the title to real property or the contract purchaser of real property, of record, as shown on the last available complete assessment roll in the office of the County Assessor.
Property Benefited. All property specifically benefited by the improvement, the relative extent of benefit to be determined by any just and reasonable method of apportionment of the total cost of the improvement between the properties determined to be specially benefited therefrom.
(Ord. 431, passed 8-23-61; Am. Ord. 1124, passed 3 13 78)
(A) Whenever the City Council shall determine, either after petition by property owners or on their own motion, to proceed to make an improvement to be paid for in whole or in part by the property benefited, they shall, by motion, direct the City Manager to have the following report prepared containing the following information and any other information requested by the City Council.
(1) A description of the work proposed to be done;
(2) Preliminary plans and outline specifications for improvement;
(3) A description of the boundaries of the proposed improvement district;
(4) A just and reasonable method for apportioning the costs of the improvements to the properties benefited;
(5) A list of the properties benefited by improvement, including the name of the owner of each property benefited and the address of the owner; the assessed valuation of each property, adjusted in accordance to ORS 223.220; and a statement of the amount of outstanding assessments against any property proposed to be assessed by the improvement;
(6) The estimated total cost of the improvement including all legal, engineering and administrative costs;
(7) The proportionate cost of the improvement to be assessed to each benefited property;
(8) The portion of the cost of the improvement to be borne by any city funds, if any.
(B) The City Manager shall have a copy of the report filed in the office of the Finance Director/Recorder when completed.
(Ord. 431, passed 8-23-61)
(A) In proposing a method of assessment of the costs of the improvement, the following shall be considered.
(1) The use of any just and reasonable method of determining the extent of the district boundaries consistent with the benefits derived;
(2) The use of any method of apportioning the sum to be assessed as is just and reasonable among the properties determined to be specially benefited;
(3) Payment by the city of all or any part of the cost of any improvement when, in the opinion of the City Council, on account of topographical or physical conditions, unusual or excessive use by the general public or other character of the work involved, or when the Council otherwise believes the situation warrants; provided that proportion to be paid by the city represents a reasonable relation between the benefits derived by the property specially assessed and the benefits derived by the city as a whole.
(B) Nothing herein contained shall preclude the Council from using other available means of financing improvement, including federal or state grants in aid, sewer service or other types of services or charges, revenue bonds, general obligation bonds, or other legal means of finance. In the event any of the other means of finance are used, the Council may, in its discretion levy special assessments hereunder according to benefits to cover any part of the costs of the improvement not covered by such means.
(Ord. 431, passed 8-23-61)
(A) When improvement has been completed, the City Council shall, by ordinance, provide for the assessment of the benefited properties and for the apportionment of the assessment to the individual lots within the district.
(B) In determining the cost of the improvement, the following shall be added to the contract price of the work:
(1) The cost of right of way;
(2) Condemnation expenses;
(3) Cost of engineering;
(4) Cost of supervision;
(5) Cost of inspection;
(6) Cost of advertising;
(7) Legal expenses; and
(8) Any other necessary and proper expenses, which costs shall be a part of the amounts assessed to the benefited properties.
(C) The final assessment ordinance shall provide that the assessments against the benefited properties shall be a charge and a lien against the assessed properties. (Ord. 431, passed 8-23-61)
(A) Claimed errors in calculation of assessments shall be called to the attention of the City Manager prior to any payment on account thereof. The City Manager shall check the calculation and report his findings to the Council.
(B) If an error has been made, the Council shall amend the final assessment ordinance to correct the error. Upon the enactment of an amendment by the City Council, the Finance Director/Recorder shall make the necessary correction in the lien docket and shall send by registered or certified mail to the owner a corrected notice of the assessment.
(Ord. 431, passed 8-23-61)
The provisions of ORS 223.405 to ORS 223.485, concerning reassessments after assessments are set aside for any reason, or when the courts refuse enforcement of assessments, or when the City Councilis in doubt as to the validity of the assessments, are hereby adopted and made a part of this subchapter.
(Ord. 431, passed 8-23-61)
(A) Resolution to create districts.
(1) After the City Manager's report has been filed with the Finance Director/Recorder and after the City Council has examined the report and found the same to be satisfactory, and the estimated cost and apportionment thereof to be reasonable and just, and after having found the boundaries of the improvement district to be properly determined, the City Council shall, by resolution, propose to make an improvement, and to create a local improvement district.
(2) The resolution shall also state the boundaries of the district, the proposed method of apportioning the costs of the improvement among the property owners; the portion of the cost, if any, which the city shall pay; and that the portion of the costs which are assessed to the property owners shall be a charge and lien upon the properties benefited.
(3) The resolution shall also set the date for a public hearing and shall direct the Finance Director/Recorder to publish a notice of the hearing as required by ORS 223.389.
(B) Ordinance to create districts.
(1) After the time for filing remonstrances has expired, and after the public hearing, if the local improvement district has not been objected to by the owners of 60% of the property benefited the Council may, by ordinance, provide for the creation of the local improvement district.
(2) The above-mentioned ordinance shall describe the improvement to be made and the boundary of the district. The ordinance shall also provide that the costs of the improvement which are assessed against the properties benefited shall be charges and liens against the property.
(3) The city may enforce collection of assessments as provided by ORS 223.505 to 223.650, or in any other manner provided by law.
(4) In creating the local improvement by ordinance, the Council shall consider the objections and remonstrances made thereto, and the reasons stated therefor. The Council may correct, modify or revise the proposed assessments and shall determine the amount of assessment to be charged against each lot within the district, according to the special benefits accruing thereto from the local improvement.
(5) The ordinance shall also direct that the City Manager have detailed plans and specifications of the improvement prepared and that, when appropriate, that the city invite bids for construction of the improvement. All bidders shall be required to submit a certified check or bid bond in the amount equal to 5% of their bid, and the contractor to whom the award is made shall submit a performance bond in the amount of his bid at the time the contract is awarded.
(Ord. 431, passed 8-23-61)
(A) Notice of remonstrance.
(1) The notice of the time and place of the public hearing shall state that the City Council shall hear and consider objections or remonstrances to the proposed improvement by any parties aggrieved thereby. The notice shall be published once a week for two successive weeks in a newspaper of general circulation designated as legal publication by the City Council, and not less than ten days prior to the date set for the hearing.
(2) The notice shall state that the City Council, by resolution, has proposed to create the improvement. The notice shall also include the following:
"Unless the owners of 60% of the property within the local improvement district make and file with the Finance Director/Recorder a written objection and remonstrance against the proposed improvement within ten days from date of the publication of this notice, or present their objections at the public hearing, the Council shall be deemed to have acquired jurisdiction to order the improvement to conform in all particulars to the plans and specifications previously adopted. Any objection or remonstrance shall state the reasons therefor."
(3) The Finance Director/Recorder shall also notify the owner of each lot proposed to be assessed by registered or certified mail, or by personal delivery, of the amount of the assessment proposed for that property, or the date by which objections shall be filed with the Finance Director/Recorder, and of the date of the public hearing.
(4) Whenever a notice is required to be sent to the owner of a lot affected by a proposed assessment, the notice shall be addressed to the owner or his agent. If the address of the owner or his agent is not known, the notice shall be sent to the owner at the city where the property is located.
(5) Any mistake, error, omission or failure with respect to the mailing shall not be jurisdictional or invalidate the assessment proceedings, but there shall be no foreclosure or legal action to collect until notice has been given by personal service upon the property owner, or if personal service cannot be had, then by publication once a week for two successive weeks in a newspaper of general circulation in the city.
(B) Prevention of improvement by remonstrances or at the public hearing. If within ten days from the date of the publication of the notice, the owners of 60% or more of the property within the district file with the Finance Director/Recorder a written objection or remonstrance against the proposed improvement or if the remonstrance be made at the public hearing, the objection or remonstrance shall be a bar to any further proceeding in the making of the improvement for a period of six months, unless the owners of one half or more of the property affected shall subsequently petition.
(Ord. 431, passed 8-23-61)
(A) It shall be the general policy of the city to call for bids for making local improvements and to award the bid to the lowest, responsible bidder. This general policy, however, shall not prohibit the Council from providing that the city construct the local improvements rather than private contractors. In the event that more than one local improvement district shall be advertised for bids at the same timed all local improvement districts shall be bid separately. The Council shall have the authority, however, to accept the lowest aggregate bid for all of the local improvement districts bid at the same time and they shall allocate the proper amount of the total cost to each district separately.
(B) The Council may, in its discretion, reject any and all bids submitted if the aggregate of the bid exceeds the aggregate estimated cost of all of the districts, and the Council shall not be required to accept any bid for any individual district even though the same may comply with the requirements here of when the aggregate bid fails to meet the requirements of other local improvement districts then bid.
(Ord. 431, passed 8-23-61)
The procedure for establishing motor vehicle parking districts provided in ORS 223.805 to 223.845 shall be the same as for other improvement districts.
(Ord. 431, passed 8-23-61)
(A) Immediately after the City Council has approved the final assessment ordinance, the Finance Director/Recorder shall enter the assessments in the city lien docket, which assessments shall be a lien and charge upon the respective lots against which they are placed. Liens shall be first and prior to all other liens or encumbrances thereon insofar as the laws of Oregon allow.
(B) After making entry, the Finance Director/Recorder shall publish a notice in a newspaper designated by the City Council for the publication thereof. This notice shall state that within ten days of the time of publication of this notice, the owners of the assessed properties may file with the Finance Director/Recorder, on a form provided for the purpose, an application to pay the assessment in whole or in part on an installment basis, as provided by the Bancroft Bonding Act, ORS 223.205 to 223.295, which is hereby adopted by reference and made a part of this subchapter. This notice shall also state that, if the assessment is not eligible under the provisions of the Bancroft Bonding Act, or if the owner of the assessed property does not apply to use the installment basis, all or part of the assessment shall be excluded from the installment payment procedure and shall be paid in full by cash within 30 days of the date of entry in the lien docket.
(C) The Finance Director/Recorder shall also send by registered or certified mail to the owners of the assessed property a notice containing the same information as the notice which is published in the newspaper. If the address of the owner is unknown to the Finance Director/Recorder, the same requirements shall be met as described by § 34.33(A) of this subchapter and by ORS 223.391.
(D) The contents of the application to pay assessments on the installment basis shall be as provided by ORS 223.315.
(E) After application has been made by the owners of assessed property to have the assessments bonded, assessments shall be transferred by the Finance Director/Recorder from the city lien docket to the bond lien docket, as provided by ORS 223.230.
(Ord. 431, passed 8-23-61)
(A) The current Bancroft bond interest rate shall be that interest charged per annum until paid on the unpaid balance remaining on the city lien docket from the date of entry, or of entry corrected pursuant to any provisions of this subchapter, except that no interest shall be charged if the assessment be paid within 30 days of the passage of the final assessment ordinance.
(B) The city may proceed to foreclose or enforce any lien to which it shall be entitled pursuant to the provisions of this subchapter at any time after 60 days from the date of entry of the assessment in the lien docket, as provided by ORS 223.505 through 223.775, or any other method provided by law.
(Ord. 431, passed 8-23-61; Am. Ord. 658, passed 5 25-70; Am. Ord. 1297, passed 5-12-80; Am. Ord. 1365, passed 6-8-81)
(A) Rebonding. The provisions of ORS 223.715 to ORS 223.750, concerning rebonding of bonded assessments which have not been fully paid are hereby adopted and made a part of this subchapter. The applicable interest rate for ORS 223.715 shall be the current Bancroft bond interest rate.
(B) Reinstatement. The provisions of ORS 223.755, concerning reinstatement of delinquent liens before the property affected has been sold, are hereby adopted and made a part of this subchapter.
(C) Miscellaneous provisions. The provisions of ORS 223.750 and 223.765, concerning acceptance of home owner's loan corporation bonds and municipal bonds as payments for assessment liens; of ORS 223.770, concerning assessment of public property benefited by improvements; and of ORS 223.880, concerning the inclusion of public roads in sidewalk improvement districts; are hereby adopted by reference and made a part of this subchapter.
(Ord. 431, passed 8-23-61; Am. Ord. 658, passed 5 25-70; Am. Ord. 1297, passed 5-12-80; Am. Ord. 1365, passed 6-8-81)
The City Council shall have full power and authority to abandon and rescind proceedings for improvements undertaken hereunder at any time prior to the final consummation of proceedings. If liens have been assessed upon any property under this procedure, they shall be cancelled and any payments made thereon shall be refunded to the payor, his assigns, or legal representatives.
(Ord. 431, passed 8-23-61)
No improvement assessment shall be invalid by reason of a failure to give, in any report on the proposed assessment, in the assessment ordinance, in the lien docket or elsewhere in the proceedings, the name of the owner of any lot or other parcel of land, or part thereof, or the name of any person having a lien upon or interest in the property, or by reason of any error, mistake, delay, omission, irregularity, or other act, jurisdictional or otherwise, in any of the proceedings hereinabove specified, unless it appears that the assessment as made, insofar as it affects the person complaining, is unfair and unjust and the City Council shall have power and authority to remedy and correct all matters by suitable action and proceedings.
(Ord. 431, passed 8-23-61)