Chapter 10.28
TRAFFIC IMPACT MITIGATION
Sections:
10.28.010 Findings and authority.
10.28.030 Findings of concurrency.
10.28.040 Assessment of impact fees.
10.28.070 Impact fee adjustments due to other revenue sources.
10.28.090 Establishment of an impact fee account for transportation.
10.28.120 Administrative guidelines.
10.28.140 Transportation impact fees.
10.28.150 Independent fee calculations.
10.28.160 Existing authority unimpaired.
10.28.170 Schedule A, impact fees by parking required for use.
10.28.010 Findings and authority.
The city council of the city of Deer Park hereby finds and determines that new growth and development, including, but not limited to, new residential, commercial, and industrial development, in the city will create additional demand and need for transportation facilities in the city, and the council finds that new growth and development should pay a proportionate share of the cost of new facilities needed to serve the new growth and development. The traffic report prepared by the city’s engineering firm is hereby incorporated by reference into this chapter. This chapter is enacted pursuant to Chapter 82.02 RCW. The provisions of this chapter shall be liberally construed in order to carry out the purposes of the council in establishing the impact fee program. (Ord. 812 § 1, 2004)
10.28.020 Definitions.
For the purposes of this chapter, the terms described in this section shall have the following meanings:
A. “Accessory dwelling unit” means a dwelling unit that has been added onto, created within, or constructed separately from a single-family detached dwelling for use as a completely independent living unit with provisions for cooking, eating, sanitation, and sleeping.
B. “Development activity” means any construction, expansion, or change in the use of a building or structure that creates additional demand and need for transportation facilities.
C. “Development approval” means any written authorization from the city which authorizes the commencement of a development activity.
D. “Director” means the community services director of the city of Deer Park or his/her authorized representative.
E. “Dwelling unit” means a single unit providing complete and independent living facilities for one or more persons, including permanent facilities for living, sleeping, eating, cooking, and sanitation needs.
F. “Encumbered” means to reserve, set aside, or otherwise earmark the impact fees in order to pay for commitments, contractual obligations, or other liabilities incurred for public facilities.
G. “Feepayer” means a person, corporation, partnership, an incorporated association, or any other similar entity, or department or bureau of any governmental entity or municipal corporation, commencing a land development activity which creates the demand for additional transportation facilities, and which requires the issuance of a building permit. “Feepayer” includes an applicant for an impact fee credit.
H. “Gross floor area” means the total square footage of any building, structure, or use, including accessory uses. In the case of businesses with outdoor sales, such as vehicle and machinery sales, lumber sales, and garden nurseries, “gross floor area” shall include the outdoor area specifically used for the display of merchandise for sale.
I. “Impact fee” means a payment of money imposed by the city on a development activity pursuant to this chapter as a condition of granting development approval in order to pay for the transportation facilities needed to serve new growth and development. “Impact fee” does not include a reasonable permit fee, an application fee, the administrative fee for collecting and handling impact fees, or the cost of reviewing independent fee calculations.
J. “Impact fee account” means the account established for each type of public facility for which impact fees are collected. The account shall be established pursuant to DPMC 10.28.090 and shall comply with the requirements of RCW 82.02.070.
K. “Independent fee calculation” means the transportation impact calculation and/or economic documentation prepared by a feepayer to support the assessment of an impact fee other than by the use of DPMC 10.28.170, Schedule A, or the calculations prepared by the director where none of the fee categories or fee amounts in said Schedule A accurately describes or captures the impacts of the new development on transportation facilities.
L. “Interest” means the average interest rate earned by the city in the last fiscal year, if not otherwise defined.
M. “Occupancy permit” means the permit issued by the city where a development activity results in a change in use of the pre-existing structure, or completion of a new structure.
N. “Owner” means the owner of record of real property, or a person with an unrestricted written option to purchase property; provided, that, if the real property is being purchased under a recorded real estate contract, the purchaser shall be considered the owner of the real property.
O. “Project improvements” mean site improvements and facilities that are planned and designed to provide service for a particular development or users of the project, and are not public system improvements. No improvement or facility included in a capital facilities or transportation facilities plan adopted by the council shall be considered a “project improvement.”
P. “Public facilities” mean the following capital facilities owned or operated by the city of Deer Park or other governmental entities: publicly owned parks, open space, and recreation facilities; fire protection facilities; public school facilities; and public streets and roads.
Q. “Residential” or “residential development” means all types of construction intended for human habitation, including, but not limited to, single-family (conventional construction or manufactured home), duplex, triplex, and other multifamily development.
R. “Single room occupancy dwelling” means a housing type consisting of one room, often with cooking facilities, and with private or shared bathroom facilities.
S. “Traffic report” means the “Deer Park Traffic Report” dated January 2002. (Ord. 812 § 1, 2004)
10.28.030 Findings of concurrency.
A. Prior to approving proposed subdivisions, short subdivisions, dedications, or planned unit developments, the council or administrative personnel shall make written findings that the public facilities which will be needed as a result of the new development, such as streets, roads, and other public ways, will be provided concurrent with development. For all other development applications not listed above, the concurrency finding shall be made prior to issuance of a building permit. The concurrency requirement is satisfied if the improvements are in place at the time the impacts of development occur, or if the necessary financial commitments are in place, which shall include the impact fees anticipated to be generated by the development, to complete the improvements required to meet the specified levels of service defined in the comprehensive plan and referenced in the traffic report within six years of the time of building permit issuance. Any combination of the following shall constitute the “necessary financial commitments” for the purposes of this chapter:
1. The city has received voter approval of and/or has bonding authority;
2. The city has received approval for federal, state, or other funds;
3. The city has received a secured commitment from a feepayer that the feepayer will construct the needed improvement(s) or facility and the city has found such improvement(s) or facility to be acceptable and consistent with its transportation improvement plan; and/or
4. The city has other assured funding, including, but not limited to, impact fees which have been paid.
B. Compliance with this concurrency requirement shall be sufficient to satisfy the provisions of RCW 58.17.110 and 58.17.160, and the Growth Management Act (Chapter 36.70A RCW). The finding of concurrency shall be made at the time of preliminary plat or planned unit development approval. For all other development applications, the finding shall be made at building permit issuance.
C. The city shall not approve applications for preliminary plats or planned unit developments unless the city is able to make a finding of concurrency; provided, that if the feepayer opts to dedicate land, to provide improvements, and/or construction consistent with the requirements of DPMC 10.28.060 governing credits, the city can make a finding of concurrency.
D. A finding of concurrency provided to the applicant at the time of preliminary plat or planned unit development approval shall be valid for a period of two years from the date of receipt. If, pursuant to law, an applicant requests an extension of the two-year time period between the date of preliminary and final plat or planned unit development approval, the applicant shall be subject to a new concurrency determination prior to the granting of a request for an extension.
E. If any party for any reason is able to exempt itself from the operation of this chapter, the city reserves the right to review its land use plan in conjunction with the city’s transportation improvement plan, in order to ensure concurrency. In the event that the impact fees that might have been paid would have been an integral part of the financing to ensure concurrency, the city reserves the right to deny approval for the development on these grounds. (Ord. 812 § 1, 2004)
10.28.040 Assessment of impact fees.
A. For all lots and parcels vested with the right to development on the effective date of this chapter, payment of assessed impact fees shall be in accordance with the following:
1. The city shall collect impact fees, based on DPMC 10.28.170, Schedule A, from any applicant seeking development approval from the city for any development activity within the city, at the time such development activity requires the issuance of a building permit or occupancy permit. This shall include, but is not limited to, the development of residential, commercial, and industrial land, and includes the expansion of existing uses that creates a demand for additional transportation system improvements, as well as a change in existing use that creates a demand for additional transportation system improvements.
2. Applicants seeking an occupancy permit for a change in use shall be required to pay a transportation impact fee if the change in use triggers review under the State Environmental Policy Act, Chapter 16.04 DPMC.
3. Where a change of use triggers review under the State Environmental Policy Act or increases the number of parking spaces required by DPMC Title 18, Zoning, the director shall calculate a transportation impact fee based on the additional amount of on-site parking required.
4. Impact fees shall be assessed at the time the complete building permit or occupancy permit application is submitted for each unit in the development, using the impact fee schedule (DPMC 10.28.170) then in effect. The city shall not accept an application for a building or occupancy permit unless prior to submittal or concurrent with submittal, the feepayer submits complete applications for all other discretionary reviews needed, including, but not limited to, State Environmental Policy Act documentation.
5. Applicants that have been awarded credits prior to the submittal of the complete building or occupancy permit application, pursuant to DPMC 10.28.060, shall submit, along with the complete building or occupancy permit application, a copy of the letter or certificate prepared by the director pursuant to said DPMC 10.28.060, setting forth the dollar amount of the credit awarded. Impact fees, as determined after the application of appropriate credits, shall be collected from the feepayer at the time the building or occupancy permit is issued for each unit in the development.
6. Except as established pursuant to an independent fee calculation accepted by the director, or fees imposed by the director due to exemptions or credits, all as provided for in this chapter, the city shall not issue a building or occupancy permit unless and until the impact fees set forth in Schedule A (DPMC 10.28.170) have been paid in full.
B. For all lots and parcels created via short or long subdivision after the effective date of the ordinance codified in this chapter, payment of assessed impact fees, based on Schedule A in DPMC 10.28.170, shall take place at the time any final plat, in whole or in part, is sought from the city for any such short or long subdivision.
1. Exception. If the intended use is different, at the time of the request for a building permit, from the use approved at the time of final plat approval, the previously paid impact fee shall be adjusted (upward or downward) accordingly, at the time of building permit application.
2. Once a use has been established pursuant to this subsection B of this section, any change thereto, or redevelopment thereof, shall be subject to the provisions of subsection A of this section. (Ord. 812 § 1, 2004)
10.28.050 Exemptions.
A. Except as provided for in this section, the following shall be exempt from the payment of all impact fees:
1. Alterations to an existing nonresidential structure that does not expand the habitable space or add any residential units thereto;
2. Miscellaneous improvements, including, but not limited to, fences, walls, swimming pools, signs, decks, drives, and walkways;
3. Demolition or moving of a structure;
4. Replacement of a structure with a new structure of the same parking requirement and use at the same site or lot, when such replacement occurs within five years of the demolition or destruction of the prior structure; or
5. A change in use where the increase in the off-street parking required is less than 0.51 percent of one parking space.
B. The director shall be authorized to determine whether a particular development activity falls within an exemption identified in this section, in any other section, or under other applicable law. Determinations of the director shall be in writing and shall be subject to the appeal procedures set forth in DPMC 10.28.080. (Ord. 812 § 1, 2004)
10.28.060 Credits.
A. A feepayer can request that a credit or credits for transportation impact fees be awarded to him/her for the total value of dedicated land, improvements, or construction provided by the feepayer if the land, improvements, and/or the facility constructed are identified as projects that provide capacity to serve new growth in the transportation improvement program, or the director, at his/her discretion, makes the finding that such land, improvements, and/or facilities would serve the goals and objectives of the transportation improvement program. For transportation impact fees, the feepayer can also request a credit or credits for significant past impact fee payments. For each request for a credit or credits for significant past impact fee payments for transportation purposes, the feepayer shall submit receipts and a calculation of past fee payments earmarked for or proratable to the projects that provide capacity to serve new growth in the transportation improvement program.
B. For each request for a credit or credits, if appropriate, the director shall select an appraiser or the feepayer may select an independent appraiser acceptable to the director. The appraiser must be a Washington State Certified Appraiser or must possess other equivalent certification and shall not have a fiduciary or personal interest in the property being appraised. A description of the appraiser’s certification shall be included with the appraisal, and the appraiser shall certify that he/she does not have a fiduciary or personal interest in the property being appraised.
C. The appraiser shall be directed to determine the total of the dedicated land, improvements, and/or construction provided by the feepayer on a case-by-case basis.
D. The feepayer shall pay for the cost of the appraisal or request that the cost of the appraisal be deducted from the credit which the director may be providing to the feepayer, in the event that a credit is awarded.
E. After receiving the appraisal, and where consistent with the requirements of this section, the director shall provide the applicant with a letter or certificate setting forth the dollar amount of the credit, the reason for the credit, the legal description of the site donated where applicable, and the legal description or other adequate description of the project or development to which the credit may be applied. The applicant must sign and date a duplicate copy of such letter or certificate indicating his/her agreement to the terms of the letter or certificate, and return such signed document to the director before the impact fee credit will be awarded. Failure of the applicant to sign, date, and return such document within 60 calendar days shall nullify the credit.
F. Any claim for credit must be made no later than 20 calendar days after the submission of an application for a building permit or occupancy permit.
G. No credit shall be given for project improvements.
H. Determinations made by the director pursuant to this section shall be subject to the appeals procedures set forth in DPMC 10.28.080. (Ord. 812 § 1, 2004)
10.28.070 Impact fee adjustments due to other revenue sources.
Pursuant to and consistent with the requirements of RCW 82.02.060, the city has provided adjustments for future impact fees to be paid by the new development which are earmarked or proratable to the same new transportation system improvements that are identified as projects that provide capacity to serve new growth in the transportation improvement program. The impact fee schedule in DPMC 10.28.170 has been reasonably adjusted for municipal income and property taxes and other revenue sources which are anticipated to be available to fund municipal transportation improvements. (Ord. 812 § 1, 2004)
10.28.075 Deferrals.
A. The deferral process set forth in this section shall apply if there is any conflict between the terms and provisions of this section and the other provisions within this chapter.
B. Applicants seeking to defer payment of impact fees for single-family detached and attached residential construction may apply to the city for the deferral of the impact fee payment. The deferral of the impact fee payment shall be in effect until it is time for the city to issue a certificate of occupancy or equivalent certification for use of the identified residential construction. In no event shall the deferral exceed 18 months following the date of issuance of the building permit for the identified residential structure. The amount of the impact fee to be paid shall be calculated at the time the applicant applies to the city for the deferral.
C. The applicant shall pay the city an administrative fee in an amount set by city council resolution from time to time. In addition, the applicant shall pay the city for the cost to record a deferred impact fee lien against the property where the identified residential structure is proposed for construction and the applicant shall pay the city for the cost to record the release of the lien when the applicable impact fee has been paid in full.
D. The applicant shall grant the lien in the form requested by the city and the city may record and enforce the lien in accordance with the provisions of RCW 82.02.050(3).
E. The form of the deferral application and the lien shall be as determined by the city. (Ord. 1010 § 1, 2022)
10.28.080 Appeals.
A. Any feepayer may pay the impact fees imposed by this chapter under protest in order to obtain a building or occupancy permit or a final plat approval. No appeal shall be permitted until the impact fees at issue have been paid.
B. Appeals regarding the impact fees imposed on any development activity may only be filed by the feepayer of the property where such development activity will occur for vested properties, or where a final plat is sought for sites unsubdivided at the time of the ordinance codified in this chapter’s effective date.
C. The feepayer must first file an appeal regarding impact fees with the director, as provided herein:
1. The appeal shall be in writing on the form provided by the city;
2. The appeal to the director shall be filed within 14 calendar days of the feepayer’s payment of the impact fees at issue;
3. No administrative fee will be imposed for the appeal to the director; and
4. The director shall issue his/her determination in writing.
D. Determinations of the director with respect to the applicability of the impact fees to a given development activity, the availability or value of a credit, or the director’s decision concerning the independent fee calculation which is authorized in DPMC 10.28.150, or the fees imposed by the director pursuant to said section, or any other determination which the director is authorized to make pursuant to this chapter, can be appealed to the city council.
E. Appeals shall be taken within 14 calendar days of the director’s issuance of a written determination by filing with the city clerk a notice of appeal specifying the grounds thereof, and paying the necessary fee, which is set forth in the existing fee schedule for appeals of land use decisions. The city clerk shall transmit to the city council all papers constituting the record for the determination including, where appropriate, the independent fee calculation.
F. The city council shall fix a time for the hearing of the appeal, give notice to the parties in interest, and decide the same as provided in DPMC Title 19. At the hearing, any interested party may appear in person or by agent or attorney.
G. The city council shall make findings of fact regarding the applicability of the impact fees to a given development activity, the availability or amount of the credit, or the accuracy or applicability of an independent fee calculation.
H. The city council may, so long as such action is in conformance with the provisions of this chapter, reverse or affirm, in whole or in part, or may modify the determinations of the director with respect to the amount of the impact fees imposed or the credit awarded upon a determination that is proper to do so based on principles of fairness, and may make such order, requirements, decision, or determination as ought to be made, and to that end, shall have the powers which have been granted to the director by this chapter.
I. The decision of the city council shall be final, except as provided in DPMC 19.16.110. (Ord. 812 § 1, 2004)
10.28.090 Establishment of an impact fee account for transportation.
A. Impact fee receipts shall be earmarked specifically and deposited in a special interest-bearing account or accounts. The fees received shall be prudently invested in a manner consistent with the investment policies of the city.
B. There is hereby established a separate transportation impact account (or accounts) for the fees collected pursuant to this chapter. Funds withdrawn from the account(s) must be used in accordance with the provisions of DPMC 10.28.110. Interest earned on the fees shall be retained in the account(s) and expended for the purposes for which the impact fees were collected.
C. On an annual basis, the city treasurer shall provide a report to the city council on the transportation impact account(s) showing the source and amount of all moneys collected, earned, or received, and the municipal transportation improvements that were financed in whole or in part by impact fees.
D. Impact fees shall be expended or encumbered within six years of receipt, unless the council identifies, in written findings, an extraordinary and compelling reason or reasons for the city to hold the fees beyond the six-year period. Under such circumstances, the council shall establish the period of time within which the impact fees shall be expended or encumbered. (Ord. 812 § 1, 2004)
10.28.100 Refunds.
A. If the city fails to expend or encumber the impact fees within six years of when the fees were paid, or where extraordinary or compelling reasons exist, such other time periods as established pursuant to DPMC 10.28.090, the current owner of the property on which impact fees have been paid may receive a refund of such fees. In determining whether impact fees have been expended or encumbered, impact fees shall be considered expended or encumbered on a first in, first out basis.
B. The city shall notify potential claimants by first class mail deposited with the United States Postal Service at the last known address of such claimants. A potential claimant or claimants must be the current owner of the property for which the transportation impact fee was paid.
C. Owners seeking a refund of impact fees must submit a written request for a refund of the fees to the director within one year of the date of the right to claim the refund arises or the date that notice is given, whichever is later.
D. Any impact fees for which no application for a refund has been made within this one-year period shall be retained by the city and expended on the appropriate municipal transportation facilities.
E. Refunds of impact fees under this section shall include any interest earned on the impact fees by the city.
F. When the city seeks to terminate any or all components of the impact fee program, all unexpended or unencumbered funds from any terminated component or components, including interest earned, shall be refunded pursuant to this section. Upon the finding that any or all fee requirements are to be terminated, the city shall place notice of such termination and the availability of refunds in a newspaper of general circulation at least two times and shall notify all potential claimants by first class mail at the last known address of the claimants. All funds available for refund shall be retained for a period of one year. At the end of one year, any remaining funds shall be retained by the city, but may be expended for the appropriate transportation facilities. This notice requirement shall not apply if there are no unexpended or unencumbered balances within the account or accounts being terminated.
G. The city shall also refund to the current owner of property for which impact fees have been paid, all impact fees paid, including interest earned on the impact fees, if the development activity for which the impact fees is withdrawn; provided, that if the city has expended or encumbered the impact fees in good faith prior to the application for a refund, the director shall decline to provide the refund. If, within a period of three years, the same or subsequent owner of the property proceeds with the same or a substantially similar development activity, the owner can petition the director for a deduction from future fees. The petitioner must provide receipts of impact fees previously paid for a development of the same or substantially similar nature on the same property or some portion thereof. The director shall determine whether to grant an offset, such determinations shall be in writing, and shall be subject to the appeals procedures set forth in DPMC 10.28.080. (Ord. 812 § 1, 2004)
10.28.110 Use of funds.
A. Pursuant to this chapter, Traffic Impact Fees:
1. Shall be used for transportation improvements that will reasonably benefit the new development; and
2. Shall not be imposed to make up for existing deficiencies in transportation facilities serving existing developments; and
3. Shall not be used for maintenance or operation.
B. Transportation impact fees may be spent for public improvements including, but not limited to, planning, land acquisition, right-of-way acquisition, site improvements, necessary off-site improvements, construction, engineering, architectural, permitting, financing, and administrative expenses, applicable impact fees or mitigation costs, and any other expenses which can be capitalized.
C. Impact fees may also be used to recoup transportation improvement costs previously incurred by the city to the extent that new growth and development will be served by the previously constructed improvements or incurred costs.
D. In the event that bonds or similar debt instruments are or have been issued for the advanced provision of transportation improvements for which impact fees may be expended, impact fees may be used to pay debt service on such bonds or similar debt instruments to the extent that the facilities or improvements provided are consistent with the requirements of this section and are used to serve the new development. (Ord. 812 § 1, 2004)
10.28.120 Administrative guidelines.
The director shall be authorized to adopt forms, applications, brochures, and guidelines for the implementation of this chapter, which may include the adoption of a procedures guide for impact fees. (Ord. 812 § 1, 2004)
10.28.130 Review.
The fee schedule referenced in DPMC 10.28.170 shall be reviewed and may be amended by the council, at it may deem necessary and appropriate, in conjunction with the annual update of the transportation improvement program in the city’s comprehensive plan. (Ord. 812 § 1, 2004)
10.28.140 Transportation impact fees.
Except as otherwise provided in DPMC 10.28.040 and 10.28.050, all new developments and changes in use in the city will be charged the transportation impact fee in DPMC 10.28.170. (Ord. 812 § 1, 2004)
10.28.150 Independent fee calculations.
A. If, in the judgment of the director, none of the fee categories or fee amounts set forth in DPMC 10.28.170 accurately describes or captures the impacts of a new development on transportation, the director may conduct independent fee calculations and the director may impose alternative fees on a specific development based on those calculations. The alternative fees and calculations shall be set forth in writing and shall be mailed to the feepayer.
B. If a feepayer opts not to have the impact fees determined according to DPMC 10.28.170, then the feepayer shall prepare and submit to the director an independent fee calculation for the development activity for which a building or occupancy permit, or a final plat, is sought. The documentation submitted shall show the basis upon which the independent fee calculation was made.
C. Any feepayer submitting an independent fee calculation will be required to pay the city a charge to cover the cost of reviewing the independent fee calculation. The charge required by the city for conducting the review of the independent fee calculation shall be as set forth in DPMC 10.28.170, and shall be paid by the feepayer prior to initiation of the review.
D. The director shall consider the documentation submitted by the feepayer, but is not required to accept such documentation or analysis which the director reasonably deems to be inaccurate or not reliable, and may, in the alternative, require the feepayer to submit additional or different documentation for consideration. The director is authorized to adjust the impact fees, on a case-by-case basis, based on the independent fee calculation, the specific characteristics of the development, and/or principles of fairness. The fees or alternative fees and the calculations shall be set forth in writing and shall be mailed to the feepayer.
E. Determinations made by the director pursuant to this section may be appealed to the city council subject to the procedures set forth in DPMC 10.28.080. (Ord. 812 § 1, 2004)
10.28.160 Existing authority unimpaired.
Nothing in this chapter shall preclude the city from requiring the feepayer or the proponent of a development activity to mitigate adverse environmental impacts of a specific development pursuant to the State Environmental Policy Act, Chapter 43.21C RCW, based on the environmental documents accompanying the underlying development approval process, and/or Chapter 58.17 RCW, governing plats and subdivisions; provided, that the exercise of this authority is consistent with the provisions of Chapters 43.21C and 82.02 RCW. (Ord. 812 § 1, 2004)
10.28.170 Schedule A, impact fees by parking required for use.
Transportation impact fees constituting this “Schedule A” shall be adopted, from time to time, by resolution of the city council, which resolution shall clearly indicate that the subject fees are those to be referenced pursuant to this section. Such resolution shall include the charge for the review of an independent fee calculation as set forth in DPMC 10.28.150(C). (Ord. 812 § 1, 2004)