Chapter 3.10
LOCAL IMPROVEMENTS AND SPECIAL ASSESSMENTS
Sections:
3.10.010 Initiating improvements.
3.10.020 City administrator’s report.
3.10.030 Action of city administrator’s report.
3.10.040 Resolution and notice of hearing.
3.10.070 Assessment ordinance.
3.10.080 Notice of assessment.
3.10.090 Lien record and foreclosure proceedings.
3.10.100 Error in assessments calculation.
3.10.110 Supplemental assessments.
3.10.140 Abandonment of proceedings.
Legislative history: Ord. 662.
3.10.010 Initiating improvements.
(1) When the city council considers it necessary to require that improvements to a street, sewer, water, sidewalk, parking, curbing, drain, or other public improvement defined in ORS 223.387 be paid for in whole or in part by special assessment according to benefits conferred, the council shall declare by resolution that it intends to make the improvement and direct the city administrator to make a survey of the improvement and file a written report with the recorder.
(2) When owners of two-thirds of the property that will benefit by improvements defined in subsection (1) of this section request by written petition that the council initiate an improvement, the council shall declare by resolution that it intends to make the improvement and direct the city administrator to make a survey of the improvement and file a written report with the recorder.
(3) For the purpose of this chapter, “owner” means the record holder of legal title or, as to land being purchased under a land sale contract that is recorded or verified in writing by the record holder of legal title, the purchaser. [Ord. 662 § 1, 1994; Ord. 525 § 1, 1983].
3.10.020 City administrator’s report.
Unless the council directs otherwise, the city administrator’s report shall contain the following:
(1) A map or plat showing the general nature, location and extent of the proposed improvement and the land to be assessed for payment of the cost.
(2) Plans, specifications and estimate of work to be done. If the proposed project is to be carried out in cooperation with another governmental agency, the city administrator may adopt plans, specifications and estimate of that agency.
(3) An estimate of probable cost of the improvement, including legal, administrative and engineering costs.
(4) An estimate of unit cost of the improvement to the benefited properties, calculated on a per square foot, per front foot, or another unit of cost basis.
(5) A recommendation concerning the method of assessment to be used to arrive at a fair apportionment of the whole or a portion of the cost of the improvement to benefited properties.
(6) A description of each lot, parcel of land, or portion of land to be benefited, with names of the record owners and, when readily available, names of contract purchasers as shown on books and records of the Douglas County tax department. To describe each lot or parcel of land under provisions of this section, it shall be sufficient to use the tax account number assigned to the property by the tax department or the book and page designations shown on books and records of the Douglas County clerk.
(7) A recommendation on the rate of interest to be paid on assessments bonded under the Bancroft Bonding Act and Chapter 223 ORS. [Ord. 662 § 2, 1994; Ord. 525 § 2, 1983].
3.10.030 Action of city administrator’s report.
After the city administrator’s report is filed with the recorder, the council may by resolution approve the report, modify the report and approve it as modified, require the city administrator to supply additional or different information for the improvement, or abandon the improvement.
(1) The council, in adopting the city administrator’s report, may:
(a) Use any just and reasonable method to determine the extent of an improvement district consistent with the benefits derived.
(b) Use any just and reasonable method to apportion the sum to be assessed among the benefited properties.
(c) Authorize payment by the city of all or part of the cost of an improvement when in the opinion of the council the topographical or physical conditions, unusual or excessive public travel, or other character of the work warrants only partial payment or no payment of the cost by owners of benefited properties.
(d) Make any changes to the city administrator’s report consistent with the city’s current planning, engineering and construction standards.
(2) Nothing contained in this section shall preclude the council from using other means of financing improvements, including federal and state grants-in-aid, sewer, or other legal means of finance. If other means of finance are used, the council may levy special assessments according to benefits derived to cover any remaining cost.
(3) The council may approve the city administrator’s report, modify the report and approve it as modified, require the city administrator to provide additional information, or abandon the improvement project. [Ord. 525 § 3, 1983].
3.10.040 Resolution and notice of hearing.
After the council has approved the city administrator’s report as submitted or as modified, the council shall declare by resolution that it intends to make the improvement and direct the recorder to give notice of the council’s intent by two publications, one week apart, in a newspaper of general circulation in the city and by mailing of written notice to the property owners affected. The notice shall contain the following:
(1) That the report of the city administrator is on file in the office of the recorder and is subject to public examination.
(2) That the council will hold a public hearing on the proposed improvement on a specified date, which shall be not less than 10 days after the first publication of notice, at which objections and remonstrance to the improvement will be heard by the council, and that the improvement will be abandoned or suspended for not less than six months if written remonstrance are filed before or during the hearing by owners of a majority of the property to be assessed.
(3) A description of the property to be benefited by the improvement, owners of the property as shown on books and records of the Douglas County tax department, and the city administrator’s estimate of total cost of the improvement to be paid by special assessments to benefited properties. For purposes of this section, it shall be sufficient to describe the property to be benefited by the tax account number assigned to the property and used by Douglas County tax department or the book and page designations shown on books and records of the Douglas County clerk. [Ord. 525 § 4, 1983].
3.10.050 Hearing.
After the hearing, the council may, by resolution, approve the city administrator’s report, modify the report and approve it as modified, require the city administrator to provide additional information, suspend the project for six months if required to do so by remonstrance, or abandon the project.
Upon modification of the city administrator’s report, the council shall direct the city administrator to prepare a modified report to be placed on file with the city recorder.
Following the decision to make the proposed improvements, the council shall direct the city administrator to prepare plans and specifications for the improvements. [Ord. 525 § 5, 1983].
3.10.060 Calls for bids.
The council may direct the city administrator to advertise for bids for construction of all or part of the improvement project. If part of the improvement work is to be done under contract bids, the council shall proceed in accordance with procedures of city ordinance and state law for public contracting.
If the lowest acceptable bid exceeds the city administrator’s estimate by more than 10 percent, the council shall call another public hearing, in accordance with MCMC 3.10.040, or reject all bids and abandon the project. [Ord. 525 § 6, 1983].
3.10.070 Assessment ordinance.
(1) The council shall direct the city administrator to prepare proposed assessments based on the estimated cost of construction, or after construction is completed, on the actual construction costs. The proposed assessments shall be based on the methods adopted in the city administrator’s report.
(2) Notice of the proposed assessment shall be mailed to the owner of each lot proposed to be assessed at the address shown on the Douglas County tax assessor’s roll. The notice shall state the amount of assessment proposed on the property and fix a date by which time objections shall be filed with the recorder. An objection shall state the grounds for the objection.
(3) At the hearing the council shall:
(a) Consider objections and may adopt, correct, modify or revise the assessment against each lot in the district according to special and peculiar benefits accruing to it from the improvement.
(b) By ordinance, spread the assessment. [Ord. 525 § 7, 1983].
3.10.080 Notice of assessment.
(1) Within 10 days after the ordinance levying assessments has been passed, the recorder shall send a notice of assessment to each owner of assessed property by registered or certified mail and publish notice of the assessment twice in a newspaper of general circulation in the city. The first publication of notice shall be not later than 20 days after the date of the assessment ordinance.
(2) The notice of assessment shall include the name of the property owner, a description of the assessed property, the amount of the assessment, and the date of the assessment ordinance, and shall state that interest will begin to run on the assessment and the property will be subject to foreclosure unless the owner either makes application to pay the assessment in installments within 10 days after the date of the first publication of notice or pays the assessment in full within 30 days after the date of the assessment ordinance. [Ord. 525 § 8, 1983].
3.10.090 Lien record and foreclosure proceedings.
(1) After the assessment ordinance is adopted, the recorder shall enter into the docket of liens a statement of the amount assessed on each lot, parcel of land or portion of land, a description of the improvement, names of property owners, and the date of the assessment ordinance. On entry into the lien docket the amounts shall become liens and charges on the lots, parcels of land or portions of land that have been assessed for improvement.
(2) Assessment liens of the city shall be superior and prior to all other liens or encumbrances on property insofar as state law permits. The assessment ordinance shall be recorded at the Douglas County clerk’s office.
(3) Thirty days after the date of the assessment ordinance, interest shall be charged at a rate of two percent more than the interest rate in MCMC 3.10.020(7), and the city may foreclose or enforce collection of assessment liens in the manner provided by state law.
(4) The city may enter a bid on property being offered at a foreclosure sale. The city bid shall be prior to all bids except those made by persons who would be entitled under state law to redeem the property. [Ord. 525 § 9, 1983].
3.10.100 Error in assessments calculation.
Claimed errors in the calculation of assessments shall be called to the attention of the recorder, who shall determine whether there has been an error. If there has been an error, the recorder shall recommend to the council an amendment to the assessment ordinance to correct the error. On enactment of the amendment, the recorder shall make the necessary correction in the docket of liens and send a corrected notice of assessment by registered or certified mail. [Ord. 525 § 10, 1983].
3.10.110 Supplemental assessments.
If an assessment is made before the total cost of the improvement is determined, and if the amount of the assessment is insufficient to defray expenses of the improvement, the council may declare the insufficiency by motion and prepare a proposed supplemental assessment. The council shall set a time for hearing objections to the supplemental assessment and direct the city recorder to publish one notice of the hearing in a newspaper of general circulation in the city. After the hearing the council shall make a just and equitable supplemental assessment by ordinance, which shall be entered in the docket of liens as provided by MCMC 3.10.090. Notice of the supplemental assessment shall be published and mailed, and collection of the assessment shall be made, in accordance with MCMC 3.10.090 and 3.10.100. [Ord. 525 § 11, 1983].
3.10.120 Rebates.
On completion of the improvement project, if the assessment previously levied on any property is found to be more than sufficient to pay the cost of the improvement, the council shall determine the excess and declare it by ordinance. When declared, the excess amount must be entered in the lien docket as a credit on the appropriate assessment. If an assessment has been paid, the person who paid it or that person’s legal representative shall be entitled to payment of the rebate credit. [Ord. 525 § 12, 1983].
3.10.130 Remedies.
Subject to curative provisions of MCMC 3.10.150 and rights of the city to reassess as provided in MCMC 3.10.160, proceedings for writs of review and other appropriate equitable or legal relief may be filed as provided by state law. [Ord. 525 § 13, 1983].
3.10.140 Abandonment of proceedings.
The council may abandon proceedings for improvements made under this chapter at any time before final completion of the improvements. If liens have been placed on property under this procedure, they shall be canceled and payments made on assessments shall be refunded to the person who paid them or to that person’s legal representative. [Ord. 525 § 14, 1983].
3.10.150 Curative provisions.
(1) An improvement assessment shall not be rendered invalid by reason of:
(a) Failure of the city administrator’s report to contain all information required by MCMC 3.10.020.
(b) Failure to have all the required information in the improvement resolution, assessment ordinance, lien docket, or notices required to be published and mailed.
(c) Failure to list the names of or mail notice to an owner of property as required by this chapter.
(d) Any other error, mistake, delay, omission, irregularity or other act, jurisdictional or otherwise, in the proceedings or steps specified, unless it appears that the assessment is unfair or unjust in its effect on the person complaining.
(2) The council shall have authority to remedy and correct all matters by suitable action and proceedings. [Ord. 525 § 15, 1983].
3.10.160 Reassessment.
When an assessment, supplemental assessment, or reassessment for an improvement made by the city has been set aside, annulled, declared or rendered void, or its enforcement restrained by a court of this state or by a federal court having jurisdiction, or when the council doubts validity of the assessment, supplemental assessment, reassessment, or any part of it, the council may make a reassessment in the manner provided by state law. [Ord. 525 § 16, 1983].
3.10.170 Rebonding.
(1) Pursuant to Chapter 223 ORS, the owner of property assessed for local improvements where the assessment is bonded and entered in the city’s bonded lien docket and not fully paid, may file with the city recorder an application for rebonding the original assessment in the amount due and unpaid thereon. All applications for rebonding shall be submitted to the city council for review and appropriate action. In case there is more than one such bonded original assessment on the same piece of property, the owner may combine the bonded assessments in one application, provided the total amount to be rebonded against any lot, tract or parcel of land shall be $100.00 or more, and provided the owner shall tender and pay with the application all accrued interest due on the bonded asset or assessments to the first of the month preceding the date of application for rebonding.
(2) No application for rebonding shall be received by the city recorder unless all taxes due on the property have been paid and the applicant produces satisfactory evidence showing all taxes paid.
(3) The amount of the assessment or assessments to be rebonded shall constitute a new principal to be paid in 20 equal semi-annual installments with interest at the rate set by the city council. The amount of unpaid rebonded assessment or assessments, with interest at a rate set by city council, against each lot, tract or parcel of land, shall stand, after rebonding, as a lien in favor of the city until the rebonded assessment or assessments and interest are paid. The lien shall be superior and prior to all other liens or encumbrances on the property insofar as state law permits, priority as all other city liens. [Ord. 525 § 17, 1983].