Chapter 13.45
ZONE OF BENEFIT AND FUTURE CHARGES FOR LOCAL IMPROVEMENTS
Sections:
13.45.030 Zone of benefit charges.
13.45.010 Purpose.
The purpose of this chapter is to provide a method for charging property owners who benefit from an improvement paid by another party and/or the city. This benefit is meant to include a hookup to a sanitary sewer, storm sewer or water line, or from utilization of access to a public street from their property. This chapter further provides for reimbursement to the party or parties, including the city, who initially paid for the extension of the sanitary sewer, storm sewer, water line or street in the event a property owner hooks up to or utilizes such extension within 20 years from the construction thereof. [Ord. 1001 § 1, 1994.]
13.45.020 Zone of benefit.
For every improvement which is constructed and in which all benefiting properties are not assessed or charged at the time of such construction, a zone of benefit may be established at the request of the party or parties, including the city, who paid for the extension of the sanitary sewer, storm sewer, water line or street. The zone of benefit, if established, shall include all properties contiguous to or otherwise located so as to directly benefit from such extension. Determinations of direct benefit shall be made by the city council at the time of the formation of the zone of benefit. Notice including the time and place of hearing shall be published in a paper of general circulation not less than 10 days before consideration of the resolution by the city council; and notice including the time and place of hearing, an assessment amount if an estimate is known, and how objections can be filed and heard shall also be given by certified and first class United States mail to the owners of the proposed benefited properties not less than 10 days before consideration of the resolution by the city council. Upon the adoption of the resolution, it shall be recorded by the city recorder against the title of the properties in the zone of benefit. [Ord. 1001 § 2, 1994.]
13.45.030 Zone of benefit charges.
After the establishment of a zone of benefit, any property owner within the zone of benefit who hooks up to or otherwise benefits from an improvement and who has not paid their share of the initial cost of construction of such extension shall pay their fair share of the cost of the extension as a condition of hooking up to or benefiting from such improvement. A fair share of the cost of the extension shall be established by determining each property’s pro rata share of the original cost to construct the extension plus accumulated interest.
Such interest shall be determined between the time of original construction and the time a property owner hooks up to or benefits from the extension. The accumulated interest shall be determined from average annual interest rates received from the local government treasury investment pool, compounded monthly. Pro rata shares of the original cost of the extension which are assessable to each property in the zone of benefit shall be included in the resolution which establishes the zone of benefit. [Ord. 1001 § 3, 1994.]
13.45.040 Payment.
Payment for the improvement shall be made at the time of hookup to a sanitary or storm sewer or water line, or utilization of access to a public street. Such payment shall be payable and in a form acceptable to the city. If the zone of benefit charge is paid within 20 years from the construction of such extension, the city shall pay to the party or parties who paid the initial cost of construction the amounts specified in the resolution that formed the zone of benefit. If the city paid the initial cost of construction or a portion thereof, the city will deposit that amount in the appropriate fund as specified in the resolution that formed the zone of benefit. If there is an unpaid assessment for such construction against a recipient of such reimbursement, the city shall apply the zone of benefit amount to the outstanding assessment. Any fees received by the city after 20 years shall be the sole property of the city and deposited in the appropriate fund. [Ord. 1001 § 4, 1994.]