Chapter 15.50
SYSTEM DEVELOPMENT CHARGES

Sections:

Article I. General Provisions

15.50.010    Definitions.

15.50.015    System development charges established.

15.50.020    Administrative reviews and appeals procedures.

15.50.030    Methodology for determining and establishing reimbursement and improvement fees.

15.50.040    Credits against fees for the construction of qualified public improvements.

15.50.050    Annual adjustments for system development charges.

15.50.060    Severability and classification.

Article II. Water System

15.50.100    Capital improvement list.

15.50.110    Collection of charge.

15.50.115    Exemptions.

15.50.120    Methodology.

15.50.130    Water system development charge calculation.

15.50.140    Schedule of charges.

15.50.150    Periodic review.

15.50.160    Appeal.

Article III. Storm Water System

15.50.200    Capital improvement list.

15.50.210    Collection of charge.

15.50.220    Methodology.

15.50.230    Storm water system development charge calculation.

15.50.240    Schedule of charges.

15.50.250    Periodic review.

15.50.260    Appeal.

Article IV. Transportation System

15.50.300    Capital improvement list.

15.50.310    Collection of charge.

15.50.315    Exemptions.

15.50.320    Methodology.

15.50.330    Transportation system development charge categories and calculation.

15.50.340    Schedule of charges.

15.50.350    Periodic review.

15.50.360    Appeal.

15.50.370    Downtown discount incentive program.

Article V. Parks and Recreation System

15.50.410    Purpose.

15.50.420    Scope.

15.50.430    System development charge established.

15.50.440    Collection of system development charges.

15.50.450    Parks ratio and SDC methodology.

15.50.460    Fee allocations.

15.50.470    Credits.

15.50.480    Appeal.

Prior legislation: Ordinances. 4-90, 4-97, 4-98, 9-124, 9-125, 9-129 and 2004-21.

Article I. General Provisions

15.50.010 Definitions.

“Capital improvement” means facilities or assets used for water supply, treatment, and distribution; waste water collection, transmission, treatment and disposal; drainage and flood control; transportation, including, but not limited to, streets, sidewalks, bicycle lanes, multi-use paths, street lights, traffic signs and signals, paint markings, street trees, swales, public transportation, vehicle parking, and bridges; as well as for parks and recreation. It does not include costs of the operation or routine maintenance of any of the foregoing. With regard to parks capital facilities, it means public facilities or assets used for parks and recreation, including, but not limited to, mini-parks, neighborhood parks, community parks, lineal parks, public open space and trail systems, bike paths, buildings, courts, fields, and other like facilities.

“Change in use” means when the use of a building or site, or part of a building or site, changes from one use to another.

“Development” means all improvement on a site, including construction, erection, or placement of a building, structure, mobile home, modular home, mobile home park pad in a mobile home park, golf course, public park, or the construction of any addition to or enlargement of any of the foregoing. Development does not include setup of a mobile home on an existing pad in an existing mobile home park. Development includes the redevelopment of property. Development also includes improved open areas such as plazas and walkways but does not include natural geologic forms or unimproved lands.

“Dwelling unit” means any building or portion thereof which contains living facilities, including provision for sleeping, eating, cooking, and sanitation.

“Home occupation” is a legally permitted use pursuant to EPMC 17.52.100, wherein the intent is to provide for limited business activity at a residence which is conducted in a manner that the residential character of the buildings and the neighborhood is preserved. The issuance of a home occupation permit requires a finding that all of the required criteria pursuant to EPMC 17.52.100 are met.

“Improvement fee” means a fee for costs associated with capital improvements to be constructed.

“Parcel of land” means a lot, parcel, block, or other tract of land that is occupied 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.

“Qualified public improvement” means a public capital improvement that is:

1. Required as a condition of development approval;

2. Identified in the relevant capital improvement plan, public facilities plan, master plan or comparable plan which lists the capital improvements that may be funded with improvement fee revenues; and

3. Not located on or contiguous to property that is the subject of development approval; or

4. 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.

“Reimbursement fee” means a fee for costs associated with capital improvements already constructed or under construction when the fee is established, for which the city council determines that capacity exists.

“System development charge” means a reimbursement fee, an improvement fee or a combination thereof assessed or collected at the time of increased usage of a capital improvement or issuance of a development permit, building permit or connection to the capital improvement. It does not include any portion of a sewer or water system connection charge to the extent these charges are necessary to reimburse the city for its average cost of inspecting and installing connections with water and sewer facilities; nor does it include any 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 upon a land use decision or limited land use decision. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A); Ord. 4-75 § 1, 1993. Formerly 15.16.010].

15.50.015 System development charges established.

A. System development charges shall be established and revised by ordinance. The ordinance shall set the amount of the charge through a methodology developed pursuant to EPMC 15.50.030, 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.

B. Unless otherwise exempted by the provisions of this chapter establishing the charge, or other local or state law, system development charges shall be imposed upon all development within the city upon issuance of a permit, change of use, or other qualifying activity as stated in this chapter. A legal action challenging the methodology adopted by the council pursuant to the ordinance codified in this chapter shall not be filed later than 60 days after its adoption. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.015].

15.50.020 Administrative reviews and appeals procedures.

A. Filing Challenge to Expenditure. Any person may, within two years of the expenditure of system development charge revenues, file with the city administrator a written challenge specifically identifying the challenged expenditure or expenditures and the legal and factual basis for the challenge. If the challenge is filed by or on behalf of a person who is not a resident of the city, that person’s interest in the expenditure shall likewise be specified.

B. A person challenging the propriety of the methodology adopted by the council pursuant to EPMC 15.50.030 may appeal the decision by filing a written appeal petition with the city administrator pursuant to subsection D of this section. An appeal petition challenging the adopted methodology shall be filed not later than 60 days from the date of the adoption of the methodology.

C. A person challenging the calculation of a system development charge must file a written appeal petition to the calculation of the system development charge with the city administrator within 30 days after assessment of the system development charge.

D. Any person submitting an appeal petition pursuant to subsections A through C of this section must describe, with particularity, the basis for the appeal and include:

1. The name and address of the appellant;

2. The nature of the expenditure, methodology, or calculation being appealed;

3. The reason the expenditure, methodology, or calculation is allegedly incorrect; and

4. What the correct determination of the appeal should be or how the correct calculation should be derived.

E. If the appeal petition is untimely or fails to meet the requirements of subsection D of this section, the appeal shall be dismissed without a hearing.

F. Initial Review and Report by City Administrator. If the appeal petition is timely filed and submitted in accordance with subsection D of this section, the city administrator shall review the written challenge, conduct such investigation as is necessary, and shall, within 90 days, either deny or affirm the challenge in writing. In the case where it is concluded that system development charges may have been misspent, the city administrator shall file a written report with the city council stating that system development charge revenues may have been misspent.

G. Appeal to and Action by City Council. Within 30 days of the date specified on the written denial by the city administrator, any such denial may be appealed to the city council by the party who made the challenge. Such notice of appeal must be in writing, and must specify the reasons why the denial is alleged to be incorrect. The city council shall consider the appeal within 90 days of the date the notice of appeal is received by the city, and the city council may limit its consideration to the matters specified therein. The city council shall either affirm the denial or shall find that all or some portion of the challenge was proper. Likewise, within 90 days of its receipt of a report from the city administrator stating that system development charge revenues may have been misspent, the city council shall, by resolution, enter its own determination as to whether, and to what extent, such revenues were misspent.

H. The appellant shall have the burden of proof. Evidence and argument shall be limited to the grounds specified in the petition. The city council shall issue a written decision stating the basis for its conclusion and directing appropriate action to be taken.

I. The city council shall render its decision within 15 days after the hearing date, and the decision of the city council will be final. The decision will be in writing, but written findings shall not be made or required unless the city council, in its discretion, elects to make findings for precedential purposes.

J. Liability of City. If it is finally determined that the city expended any system development charge revenues in violation of the limitations described in ORS 223.307, the city’s entire liability and responsibility shall be to replace the misspent amount with money derived from other sources, not later than one year following such determination.

K. Any legal action contesting the city council’s decision on the appeal must be filed within 60 days of the city council’s decision. Review of the city council’s decision shall be by writ of review pursuant to ORS 34.010 to 34.100. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A); Ord. 4-75 § 2, 1993. Formerly 15.16.020].

15.50.030 Methodology for determining and establishing reimbursement and improvement fees.

A. Reimbursement Fees. To the extent any system development charge includes a reimbursement fee, this portion, if any, shall be determined by considering the cost of the existing facility or facilities, prior contributions by existing 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 in establishing the particular charge. If deemed necessary by the city administrator, this determination shall be made or approved by the city engineer. The foregoing factors shall be applied to promote the objective of future system users contributing no more than their equitable share to the cost of existing facilities.

B. Improvement Fees. To the extent any system development charge includes an improvement fee, this portion shall be determined by considering the cost of projected capital improvements needed to increase the capacity of the systems for which the charge relates. If deemed necessary by the city administrator, this determination shall be made or approved by the city engineer.

C. Inspection of Methodology. The city administrator or his or her designee shall maintain records documenting how the previously mentioned methodologies were applied in establishing any particular system development charge, and these records shall be available for public inspection.

D. Adopting or Revising Charges. Any new system development charges shall be determined in accordance with and subject to the procedures of this chapter, and shall be implemented by separate ordinance. Increases or decreases in existing system development charges shall also be determined according to the methodologies set forth above, to the extent they are applicable, but may be implemented by resolution. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A); Ord. 4-75 § 3, 1993. Formerly 15.16.030].

15.50.040 Credits against fees for the construction of qualified public improvements.

A. Application of This Section. This section shall automatically apply to any ordinance for establishing a system development charge, to the extent it includes an improvement fee.

B. Credit. To the extent that any system development charge includes an improvement fee, there shall be allowed, upon written application, a credit against the improvement fee portion of the charge for the construction of a qualified public improvement. If such improvement is partially located on and partially located off property that is the subject of the development approval, the credit shall be only for the cost of the improvement not located on or wholly contiguous to the property. The credit allowed shall never exceed the improvement fee, regardless of the cost of the capital improvement. The initial determination on all credit requests shall be a decision by the city administrator and the applicant bears the burden of evidence and persuasion in establishing entitlement to a system development charge credit and the amount of credit in accordance with the requirements of this section. If there is any question as to the amount of the credit to be allowed, this credit shall be calculated and certified by the city engineer, whose determination shall be final and binding on all parties.

C. To obtain a system development charge credit, the applicant must make the request, in writing, to the city administrator prior to the city’s issuance of the first building permit for the development in question. In the request, the applicant must state the following:

1. Identify the improvement for which the credit is sought;

2. Explain how the improvement is a qualified public improvement; and

3. Document, with credible evidence, the value of the improvement for which credit is sought.

D. The system development charge shall be an amount equal to the fair market value of the improvement. Fair market value shall be determined by the city administrator based on credible evidence of the following:

1. For dedicated lands, value shall be based upon a written appraisal of fair market value by a qualified, professional appraiser based upon comparable sales of similar property between unrelated parties in an arms-length transaction;

2. For a qualified public improvement yet to be constructed, value shall be based upon the anticipated cost of construction. Any such cost estimates shall be certified by a registered professional architect or engineer or based on a fixed-price bid from a contractor ready and able to construct the improvement(s) for which the system development charge credit is sought;

3. For a qualified public improvement already constructed, value shall be based on the actual cost of construction as verified by receipts submitted by the applicant; or

4. For a qualified public improvement located on, or contiguous to, the site of the development, only the over-capacity portion as described in the definition of qualified public improvement is eligible for a system development charge credit. There is a rebuttable presumption that the over-capacity portion of such a qualified public improvement is limited to the portion constructed larger, or of greater capacity, than the city’s minimum standard facility capacity or size needed to serve the particular development.

E. Form of Credit and Limitation on Use. When given, system development credits will be for a particular dollar value as a credit against a system development charge assessed on a development. Credits may only be used to defray or pay the system development charge for the particular capital improvement system to which the qualified public improvement is related; e.g., credit from a qualified public improvement for water may only be used to pay or defray a water system development charge.

F. System Development Charge Credit Carry-Forward. Where the amount of the system development charge credit approved under this section exceeds the amount of a system development charge assessed on a development for a particular capital improvement system, the excess credit may be carried forward pursuant to the following rules:

1. A system development charge credit carry-forward will be issued by the city administrator for a particular dollar value to the developer who earned the system development charge credit and may be used by the developer to satisfy system development charge requirements for any other development applied for by the developer within the city. System development charge credit carry-forwards are not negotiable or transferable to any party other than the one to whom they are issued.

2. The city will accept a system development charge credit carry-forward presented by a developer as full or partial payment for the system development charge due to any of the developer’s developments.

3. System development charge credit carry-forwards are void and of no value if not redeemed with the city for payment of a system development charge of the same type of capital improvement system for which the credit was issued within 10 years of the date of issuance.

G. System Development Charge Credit Deadline. For all other system development charge credits not carried forward, the applicant must formally request the system development charge credit to the city administrator no later than 180 days after the later of the following two conditions occurs:

1. Acceptance of the applicable improvement by the city; and

2. The applicant paying sufficient system development charges for the development to cover the approved SDC credit. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A); Ord. 4-75 § 4, 1993. Formerly 15.16.040].

15.50.050 Annual adjustments for system development charges.

The city administrator may annually adjust any system development charges for inflation. The index charge for inflation shall be calculated annually based on the Engineering News-Record Construction Cost Index for the city of Seattle and applied to the existing SDC charge. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.050].

15.50.060 Severability and classification.

The provisions this chapter are severable, and the invalidity of any portion of this chapter shall not affect the validity of the remaining portions. If any clause, section, or provision of this chapter is declared unconstitutional or invalid for any reason, the remaining portions of this chapter shall remain in full force and effect and be valid as if such invalid portion had not been incorporated into the chapter. The city council intends that the ordinance codified in this chapter would have been adopted had such an unconstitutional provision not been included. Moreover, the city council hereby determines that any fee, rates, or charges imposed by this chapter are not a tax subject to the property tax limitations of Article XI, Section 11(b), of the Oregon Constitution. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.060].

Article II. Water System

15.50.100 Capital improvement list.

A capital project list (attached to the ordinance codified in this chapter) shall be adopted and separately updated periodically to define the basis of cost for establishing a system development charge (SDC) for the water system. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.100].

15.50.110 Collection of charge.

A. The water system development charge is imposed for each new development or facility that connects to the municipal water system and payable upon issuance of:

1. A building permit;

2. A development permit for development not requiring the issuance of a building permit;

3. A change of usage occurs as determined by the city that increases the impact to the city’s water system;

4. Upon a development not falling within the foregoing that will result in increased use of a capital improvement identified on the capital improvement list attached to the ordinance codified in this chapter.

B. If development is commenced without an appropriate permit, the system development charge is immediately payable upon the earliest date that a permit was required.

C. The city shall not issue a permit as defined in subsection A of this section until the charge has been paid in full or unless an exception has been made as approved by council or the city administrator. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.110].

15.50.115 Exemptions.

The following are exempt from payment of a water SDC:

A. Additions to single-family dwellings that do not constitute the addition of a dwelling unit. “Dwelling unit” means any building or portion thereof which contains living facilities, including provision for sleeping, eating, cooking, and sanitation.

B. An alteration, addition, replacement, or change of use that does not increase the parcel’s or structure’s use of the system to which the system development charge applies.

C. Water line connections which are:

1. Made solely and exclusively for the purpose of providing fire protection and which are not to be used for any nonfire protection purposes; and

2. On a line which is separate from any line used for nonfire protection purposes.

These exclusive fire protection connections must have a detector-check meter installed. If it is found that water is being used for nonfire protection purposes, the city may revoke the exemption, install a full-flow meter at the owner’s expense, and collect the appropriate system development charge.

D. Any enlargement or change and any new connection or utilization of the system to which a system development charge applies shall not be exempt.

E. To the extent that the city finds that the change in use has occurred in accordance with EPMC 15.50.110(A)(3), then the customer will be required to pay a water SDC equal to the difference between the meter equivalent needed to serve the new use minus the equivalent meter use of the prior use. In no instance will a refund be provided if it is found that the change in use results in a decrease in meter size equivalent. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.115].

15.50.120 Methodology.

The methodology for calculating the water system development charge is established in the city of Eagle Point, Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter and incorporated herein as thus set forth. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.120].

15.50.130 Water system development charge calculation.

The water SDC shall be calculated based on the methodology set forth in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter, based on $2,990 per meter equivalent. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.130].

15.50.140 Schedule of charges.

A. Index charge for inflation shall be calculated annually per EPMC 15.50.050 based on the Engineering News-Record Construction Cost Index for the city of Seattle and applied to the existing SDC charge.

B. The water SDC will be set at $2,990 per meter equivalent. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.140].

15.50.150 Periodic review.

The city shall prepare a periodic review to determine that sufficient funds will be available to help fund the needed facility improvements for future system growth and to ensure that facilities will not be overfunded by the water SDC receipts. The periodic review will take place no less than every five years. In the event an adjustment is necessary to the SDC charges, the city shall propose and adopt appropriately adjusted water SDC charges. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.150].

15.50.160 Appeal.

The water system rate may be appealed pursuant to EPMC 15.50.020 upon proof that the rate has been incorrectly calculated for the use on the property. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.160].

Article III. Storm Water System

15.50.200 Capital improvement list.

A capital project list (attached to the ordinance codified in this chapter) shall be adopted and separately updated periodically to define the basis of cost for establishing a system development charge (SDC) for the storm water system. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.200].

15.50.210 Collection of charge.

A. The storm water system development charge is imposed for each new development or facility that is constructed within the community and payable upon issuance of:

1. A building permit;

2. A development permit for development not requiring the issuance of a building permit;

3. A change of usage occurs as determined by the city that increases the impact to the city’s storm water system;

4. Upon a development not falling within the foregoing that will result in increased use of a capital improvement identified on the capital improvement list attached to the ordinance codified in this chapter.

B. If development is commenced without an appropriate permit, the system development charge is immediately payable upon the earliest date that a permit was required.

C. The city shall not issue a permit as defined in subsection A of this section until the charge has been paid in full or unless an exception has been made as approved by council or the city administrator.

D. To the extent that the city finds that the change in use has occurred in accordance with subsection (A)(3) of this section, then the customer will be required to pay a storm water SDC equal to the difference between the impervious surface needed to serve the new use minus the calculated impervious use and associated rate of the prior use. In no instance will a refund be provided if it is found that the change in use results in a decrease in impervious surface impact to the storm water system. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.210].

15.50.220 Methodology.

The methodology for calculating the storm water system development charge is established in the city of Eagle Point, Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter and incorporated herein as thus set forth. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.220].

15.50.230 Storm water system development charge calculation.

The storm water SDC shall be calculated based on the methodology set forth in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter, based on $1,858 per equivalent service unit. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.230].

15.50.240 Schedule of charges.

A. Index charge for inflation shall be calculated annually per EPMC 15.50.050 based on the Engineering News-Record Construction Cost Index for the city of Seattle and applied to the existing SDC charge.

B. The storm water SDC will be set at $1,858 per equivalent service unit. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.240].

15.50.250 Periodic review.

The city shall prepare a periodic review to determine that sufficient funds will be available to help fund the needed facility improvements for future system growth and to ensure that facilities will not be overfunded by the storm water SDC receipts. The periodic review will take place no less than every five years. In the event an adjustment is necessary to the SDC charges, the city shall propose and adopt appropriately adjusted storm water SDC charges. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.250].

15.50.260 Appeal.

A storm water rate may be appealed pursuant to EPMC 15.50.020 upon proof that the impervious surface area has been incorrectly calculated for the use on the property. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.260].

Article IV. Transportation System

15.50.300 Capital improvement list.

A capital project list (attached to the ordinance codified in this chapter) shall be adopted and separately updated periodically to define the basis of cost for establishing a system development charge (SDC) for the transportation system. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.300].

15.50.310 Collection of charge.

A. The transportation system development charge is imposed for each new development and building change of use established pursuant to this article and payable upon issuance of:

1. A building permit;

2. A development permit for development not requiring the issuance of a building permit;

3. A change of usage occurs as determined by the city that increases the impact to the city’s transportation system (generates new additional trips);

4. Upon a development not falling within the foregoing that will result in increased use of a capital improvement identified on the capital improvement list attached to the ordinance codified in this chapter.

B. If development is commenced without an appropriate permit, the system development charge is immediately payable upon the earliest date that a permit was required.

C. The city shall not issue a permit as defined in subsection A of this section until the charge has been paid in full or unless an exception has been made as approved by council or the city administrator.

D. A system development charge shall be imposed when a change of use of a parcel or structure occurs, but credit shall be given in an amount equal to the existing system development charge as applied to the preexisting use, regardless of whether a transportation system development charge has previously been paid for the prior use. The credit so computed shall not exceed the calculated system development charge. To the extent that the city finds that the change of use has occurred in accordance with subsection (A)(3) of this section, then the customer will be required to pay a transportation SDC equal to the difference between the average daily person trip-ends (ADPT) generated from the new use, minus the ADPT generated from the existing or previous use, multiplied by the transportation SDC unit cost. In no instance will a refund be provided if it is found that the change in use results in a decrease in the number of ADPT generated.

E. The applicant for a building or development permit shall be required to state in writing the intended use of the building in sufficient detail to enable the planning director to determine the appropriate category of use in order to calculate the appropriate SDC charge. If the use of the building changes or if the stated use is incorrect, the owner shall report the change of use to the planning director within 30 days and promptly pay any additional SDC that may be due. If any owner subject to the SDC fails to report a correct statement of use or a change of use within 30 days or fails to pay the additional SDC within 10 days after invoice, the owner shall pay a penalty of 10 percent of the balance due plus interest on the unpaid balance at the rate of one percent per month. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.310].

15.50.315 Exemptions.

A. No SDC transportation charge shall be imposed for a change of use made after three years from the date the certificate of occupancy was issued; provided, however, additions to the square footage of such uses are not exempt.

B. No SDC for the transportation system shall be charged on account of any “home occupation” as defined in this chapter.

C. No SDC transportation charge shall be imposed for additions to single-family and multi-family dwellings that do not constitute the addition of a dwelling unit. “Dwelling unit” means any building or portion thereof which contains living facilities, including provision for sleeping, eating, cooking, and sanitation.

D. As used in this section, “development” means construction, erection, or placement on a site of a building, structure, mobile home, modular home, new or additional mobile home park pad in a mobile home park, golf course, public park, or the construction of any addition to or enlargement of any of the foregoing. Development does not include setup or replacement of a mobile home on an existing pad in a existing mobile home park. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.315].

15.50.320 Methodology.

The methodology for calculating the transportation system development charge is established in the city of Eagle Point, Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter and incorporated herein as thus set forth. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.320].

15.50.330 Transportation system development charge categories and calculation.

The transportation SDC shall be calculated based on the methodology set forth in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter, based on $204.00 per average daily person trip-end (ADPT) for transportation improvements. The latest edition trip generation handbook adopted by the Institute of Transportation Engineers (ITE) shall be the reference guide for SDC calculations as the basis for measuring trips generated. Average trip generation count for calculating transportation system development charges will be based on average daily person trip-ends (weekday).

A. The planning director, or designee, will calculate trips based on the land use and title that best fit the development. If there is not a corresponding land use, title, or category in the ITE handbook, the city will use the most similar land use and title to measure trip generation. Use and determination of the land use codes are subject to interpretation by the city.

B. The planning director may consider an alternative trip calculation when a report is supplied by a licensed traffic engineer and the alternative is reviewed and approved by the city engineer.

C. The ITE codes may be amended to reflect a “local trip rate” for particular ITE code categories when supported by a local study supplied by a licensed traffic engineer and approved by the city engineer.

D. Final determination of the land use category and ITE reference code to be used for the purpose of assessing transportation system development charges is made by the city administrator. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.330].

15.50.340 Schedule of charges.

A. Index charge for inflation shall be calculated annually per EPMC 15.50.050 based on the Engineering News-Record Construction Cost Index for the city of Seattle and applied to the existing SDC charge.

B. The transportation SDC will be set at $204.00 per average daily person trip-end (ADPT). [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.340].

15.50.350 Periodic review.

The city shall prepare a periodic review to determine that sufficient funds will be available to help fund the needed facility improvements for future system growth and to ensure that facilities will not be overfunded by the transportation SDC receipts. The periodic review will take place no less than every five years. In the event an adjustment is necessary to the SDC charges, the city shall propose and adopt appropriately adjusted transportation SDC charges. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.350].

15.50.360 Appeal.

A transportation rate may be appealed pursuant to EPMC 15.50.020 upon proof that the rate has been incorrectly calculated for the use on the property. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.360].

15.50.370 Downtown discount incentive program.

As an incentive to generate additional development activity within the old downtown area of the city, the system development charge for transportation shall be reduced by 75 percent for projects on commercially zoned properties located in the Old Town District, Creekside District, and Napa District of the Eagle Point Town Center Plan Area. This incentive program shall be reviewed by the city council at least every five years. The council shall review the effectiveness of the incentive program and make a determination as to whether the program shall be continued or sunset. As further justification for the incentive program, the city council finds that trip generation in this area is reduced by the intensity of development, allowing visitors to park once and walk among destinations. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.370].

Article V. Parks and Recreation System

15.50.410 Purpose.

The purpose of the parks and recreation system development charge is to impose a portion of the costs of capital improvements for parks and recreation upon those developments creating the need for, or increasing the demands upon, capital improvements. The purpose of the SDC is not to raise revenues, but to ensure adequate park and recreation facilities for the citizens of Eagle Point. Since new residents will impact and increase usage of existing parks and create a need for development of new parks to serve their needs, SDCs require a “buy-in” to both categories. Park SDCs may be viewed as a method of balancing the expense of new park and recreation facilities between existing residents and new residents. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.410].

15.50.420 Scope.

The system development charge imposed by this article is separate from, and in addition to, any applicable tax, assessment, charge or fee in lieu of assessment, or fee otherwise provided by law or imposed as a condition of development. An SDC is to be considered in the nature of a charge rendered for service or facilities made available, or a charge for future services to be rendered on facilities to be made available in the future. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.420].

15.50.430 System development charge established.

A. Each developer of residential property and dwelling units, or an RV/trailer park, shall, as provided for herein, dedicate sufficient land improved to minimum park standards described in subsection B of this section and approved by the city, or pay a fee in lieu thereof, or do a combination of both, all at the option of the city; provided, that this requirement shall not apply to an individual redeveloping a property to its previous density.

B. Minimum park development shall comply with Eagle Point Resolution No. 13-445, adopted October 8, 1996, and incorporated herein.

C. The standard for the amount of land to be provided for parks or recreation purposes shall be set out in the adopted city of Eagle Point parks master plan.

D. The city, at its sole discretion, shall determine whether it shall require the dedication of land, whether it shall accept the dedication of particular land developed to minimum standards, require the fee established herein in lieu thereof, or in addition to a land dedication, to be paid and/or dedicated, all in conformance with the standards set forth herein.

E. The system development charges to be assessed pursuant to this article shall be $3,748 per residential dwelling unit and $4,460 per RV/trailer in park space. The SDC is based on a calculation of $1,509 per capita as delineated in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter. Identical assessment shall apply to each residential unit, whether conventional, manufactured, multifamily, or located within a manufactured home park. Assisted living facilities shall be exempt from the ordinance requirements.

F. The amount of this SDC has been created through application of the methodology described in the Multi Service System Development Charge Update, April 2018. Subsequent changes in the SDC amount shall be adopted by ordinance following a public hearing. The city council shall review the methodology established under this article every five years, or as mandated by specific population increases, and shall make amendments, as deemed appropriate.

G. Unless and until the developer has dedicated the required land to the city, developed to minimum standards and accepted by the city, or has reached written agreement with the city council to pay fees in lieu thereof, or in addition to, dedication, the city may, without limitation, withhold or nullify any development approvals or permits and may deny water or sewer connections to all, or any part of, the developer’s property. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.430].

15.50.440 Collection of system development charges.

A. If a proposed residence is part of a larger development or subdivision, and the dedication of park lands developed to minimum standards was not included in the approved development plans, the parks system development charge is due and payable upon, and a condition of, issuance of:

1. A building permit.

2. A development permit not requiring the issuance of a building permit, for a residential project determined to have an impact upon the existing parks system.

B. The SDC is payable in full, and no portion may be deferred. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.440].

15.50.450 Parks ratio and SDC methodology.

A. The parks and open space ratio is hereby set out in the adopted city of Eagle Point parks master plan. For the purposes of this article, the population statistics for acreage increases shall be based upon the annual Portland State University estimates, as provided for in the Multi Service System Development Charge Update, April 2018, completed by FCS Group.

B. The formulas and calculations used to compute the parks system development charges are based upon averages and typical conditions. Whenever the impact of individual developments pre-sents special or unique situations such that the calculated fee is grossly disproportionate to the actual impact of the development, alternative fee calculations may be required or approved by the city council. All data submitted to support alternate calculations under this provision shall be site specific. Major or unique developments may require special analyses to determine alternatives to the standard methodology.

C. The methodology for the parks SDC may be found in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter and made a part hereof. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.450].

15.50.460 Fee allocations.

A. Land and fees received by the city hereunder shall be used only for the purpose of providing, expanding or improving park or recreational facilities as delineated in the Multi Service System Development Charge Update, April 2018, completed by FCS Group, attached to the ordinance codified in this chapter and made a part hereof.

B. All monetary revenues received from the parks system development charges shall be budgeted, expended and accounted for as provided by state law. Their reporting shall be included in the city’s comprehensive annual report as required by ORS Chapter 294. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.460].

15.50.470 Credits.

A. Land improved to minimum park standards, as accepted by the city council, shall be applied as a credit against the parks system development charge. In situations where the amount of credit exceeds the amount of the SDC, the excess credit is not transferable to another development. However, it may be transferred to another phase of the original development.

B. Credits shall not be transferable from one type of capital improvement to another. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.470].

15.50.480 Appeal.

The parks SDC rate may be appealed pursuant to EPMC 15.50.020, upon proof that the rate has been incorrectly calculated for the use on the property. [Ord. 2022-03 § 1 (Exh. A); Ord. 2018-06 § 1 (Exh. A). Formerly 15.16.480].