Chapter 15.44
TRANSPORTATION IMPACT FEES
Sections:
15.44.060 Imposition of transportation impact fees.
15.44.090 Assessment of transportation impact fees.
15.44.100 Independent fee calculations.
15.44.130 Time of payment of fees.
15.44.180 Authorization for interlocal agreements.
15.44.190 Relationship to State Environmental Policy Act (SEPA).
15.44.200 Relationship to concurrency management.
15.44.210 Necessity of compliance.
Prior legislation: Ords. 1397, 1627 and 1641.
15.44.010 Authority.
This chapter is enacted pursuant to the Washington State Growth Management Act, codified at Chapters 36.70A and 82.02 RCW et seq., which authorizes cities planning under the Growth Management Act to assess, collect, and use impact fees to pay for capital projects related to transportation facilities needed to accommodate growth. The City of Ferndale is required to plan under the Growth Management Act and has adopted a Comprehensive Plan which includes a capital facilities program which complies with RCW 36.70A.070(3) and 82.02.050(4) and all other applicable requirements. The City’s Comprehensive Plan identifies the objective to pursue a transportation impact fee as part of the overall transportation financing mechanism. Consequently, the City of Ferndale is authorized to impose, collect, and use impact fees. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.020 Purpose.
The purpose of this chapter is to:
A. Develop a transportation impact fee program consistent with the Ferndale Comprehensive Plan for joint public and private financing of transportation improvements necessitated in whole or in part by development in the City;
B. Create a mechanism to charge and collect fees to ensure that all new development pays a proportionate share of the capital costs of off-site transportation facilities necessitated by new development;
C. Ensure that the City pays its fair share of the capital costs of transportation facilities necessitated by public use of the transportation system; and
D. Ensure fair collection and administration of such impact fees. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.030 Definitions.
The following are definitions provided for administering the transportation impact fee program. The Community Development Director shall have the authority to resolve questions of interpretation or conflicts between definitions.
“Applicant” means any property owner, developer, or other person who seeks approvals from the City of Ferndale for land use approvals that would alter traffic within the City of Ferndale.
“Building permit” means the official document or certification that is issued by the Community Development Department and that authorizes the construction, alteration, enlargement, conversion, reconstruction, remodeling, rehabilitation, erection, tenant improvement, demolition, moving or repair of a building or structure or other construction permits in those instances where a building permit is not required.
“Capital facilities plan” means the capital facilities plan element of the City’s Comprehensive Plan adopted pursuant to Chapter 36.70A RCW, and such plan as amended.
“City Center zone,” for the purposes of this chapter, shall mean that area zoned City Center on the Official Zoning Map of the City of Ferndale, as exists now and as may be amended (enlarged, decreased) in the future. Fees associated with the City Center zone shall be included in Attachment B31.
“City Council” or “Council” means the City Council of the City of Ferndale.
“Deferred payment” means the ability of the applicant to pay a portion of transportation impact fees at the time of project approval, followed by the payment of a balance of the fees at the time of building permit issuance and, for residential development, all or a portion of the fees associated with the building permit prior to request for final inspection. Deferred payment shall vest the transportation impact fees to the fees owing at the time of deferral, pursuant to FMC 14.07.090(G).
“Development activity” means any construction or expansion of a building, structure, or use, any change in use of a building or structure, or any change in the use of land that creates additional demand and need for public facilities.
For the purpose of calculating trips within residential neighborhoods, the trip generation rates described in the ITE Trip Generation Manual, 8th Edition, for residential development are assumed to include Type I home occupations, as defined by FMC 18.14.030(A). Type I home occupations are considered typical for residential neighborhoods, and are not subject to additional traffic impact fees. Type II home occupation applications, as defined by FMC 18.14.030(B), shall be considered based on the scope and intensity of the proposed use, in the judgment of the Community Development Director.
“Director” means the Director of the Community Development Department, in consultation with the Director of Public Works, or their designees.
“Finance Director” means the Finance Director of the City of Ferndale or his/her designee.
“Impact fee” or “transportation impact fee” means a payment of money imposed upon development as a condition of development approval to pay for system improvements needed to serve new growth and development, and that is reasonably related to the new development that creates additional demand and need for system improvements, that is a proportionate share of the cost of the system improvements, and that is used for system improvements that reasonably benefit the new development. Impact fees are not used to fund or address internal project improvements within a proposed development.
“Impact fee account” or “account” means the account established for the system improvements for which impact fees are collected. The account shall be established pursuant to this chapter, and shall comply with the requirements of RCW 82.02.070.
“Interlocal agreement” or “agreement” means a roads interlocal agreement, authorized in this chapter, by and between the City and other government agencies concerning the collection and expenditure of impact fees, or any other interlocal agreement entered by and between the City and another municipality or public agency to implement the provisions of this chapter.
“Jurisdiction” means a municipality or county.
“Level of service (LOS) standards” means the standards and criteria established in the City’s Comprehensive Plan to measure adequacy of transportation facilities, pursuant to the Washington State Growth Management Act.
“Main Street Master Plan subarea” means that area included within the Main Street Master Plan, adopted by reference into the Ferndale Comprehensive Plan and attached to the ordinance codified in this chapter as Attachment C. Fees associated with the Main Street Master Plan subarea shall be included in Attachment B1.
“Project improvements” means site improvements and facilities that are planned and designed to provide service for a particular development project and that are necessary for the use and convenience of the occupants or users of the project, and are not system improvements. No improvement or facility included in the capital facilities plan approved by the City Council shall be considered a project improvement. The construction of project improvements is not eligible for credits against impact fees.
“Project list” means system improvements included in the transportation impact fee program as defined in FMC 15.44.120 and Attachment A2, which is herein incorporated by reference.
“Proportionate share” means that portion of the cost of system improvements that is reasonably related to the service demands and needs of new development.
“Schedule” means the list of adopted transportation impact fees for development activity that is subject to impact fees which is based upon a formula or other calculation method consistent with RCW 82.02.060. The schedule of impact fees is defined in Attachments B1, B2, and B33, which are herein incorporated by reference.
“Service area” means a geographic area defined by the City or interlocal agreement, in which a defined set of system improvements provides service to development within the area. Service districts shall be designated on the basis of sound planning or engineering principles. Development in a service area may, and will likely be found to, impact and be served by system improvements outside of the service area, and the resulting transportation impact fee will reflect a proportionate share charge based on those impacts.
“Special transportation impact” means any transportation impact of a development, occurring within or outside the boundaries of the development site and affecting public safety or other unusual circumstances, for which the public interest requires special consideration as a condition of development approval through the environmental review/SEPA process, in addition to the normal on-site and off-site transportation impacts.
“System improvements” means public streets or roads that are included in the capital facilities plan and are designed to provide service areas within the community at large, in contrast to project improvements. System improvements may include, but are not limited to, improvements to both motorized and nonmotorized public transportation systems and the acquisition of right-of-way or easements necessary thereto, and including all aspects of planning, environmental studies, engineering design, construction management, and any other activity necessary to complete the construction project.
“Transportation demand reduction” means improvements, programs, or services on site or off site which reduce vehicular travel demand relative to the normal assumptions for off-site trip generation.
“Trip generation manual” means the most current edition of the report entitled “Trip Generation” produced by the Institute of Transportation Engineers. (Ord. 2037 § 4 (Att. 4), 2018; Ord. 1961 § 1 (Exh. A), 2016; Ord. 1916 § 6, 2015; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.040 Applicability.
A. The requirements of this chapter apply to all development activity in the City of Ferndale for which a building permit is required or, if no building permit is required, for any other construction permits. The requirements shall apply to any such permits issued after the effective date of the ordinance codified in this chapter.
B. Impacts to transportation facilities located in jurisdictions outside the City, or development in other jurisdictions which impacts transportation facilities within the City, may be mitigated when there is an interlocal agreement between the City and the effective jurisdiction specifically addressing transportation impact identification and mitigation per FMC 15.44.180. When interlocal agreements have not been established, the City and other jurisdictions shall rely on the environmental review/SEPA process to evaluate and mitigate transportation impacts, as applicable. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.050 Geographic scope.
The boundaries within which impact fees shall be charged and collected are coextensive with the corporate City limits. The unincorporated urban growth area of the City of Ferndale as it existed upon the effective date of the ordinance codified in this chapter also will be included upon adoption of an interlocal agreement with Whatcom County. A revision of this chapter will be required prior to charging impact fees for developments in the annexed area(s). (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.060 Imposition of transportation impact fees.
Any person who receives a building permit or other construction permit for any development activity or who undertakes any development activity within the City’s corporate limits for which a building permit is required, or other construction permit if a building permit is not required, shall pay the transportation impact fees as set forth in this chapter to the City. The impact fees shall be paid as follows:
|
Development Type |
Amount of Per-Unit Fee Payable at: |
||
|---|---|---|---|
|
Project Approval |
Permit |
Certificate of Occupancy Issuance |
|
|
1. Development requiring both project |
1/2 of fee for all units |
1/2 of fee for each unit |
N/A |
|
(a) Creation of new, additional lots for future single-family residential use of property where one or more previously existing single-family units are located |
1/2 of fee for all new lots |
1/2 of fee for each new lot |
N/A |
|
2. Development for which building permit only is required, except for (b) below |
N/A |
1/2 of fee |
1/2 of fee |
|
(b) Construction of single-family residence on previously existing lot of record |
N/A |
Total fee |
N/A |
|
3. Development for which no individual building permit will be required following project approval |
Total fee |
N/A |
N/A |
1 At their option, the applicant may pay 100 percent of the transportation impact fee at the time of project approval. Such payment shall not prevent the City from requiring additional impact fees if subsequent development occurs beyond the scope of the development indicated on the project approval.
2 “Project” includes conditional use permit, mobile home park, mobile home subdivision, planned unit development, short plat, or final plat, or other construction permits not requiring a building permit.
3 For residential units only, at the time of building permit submittal, the applicant may indicate to the City in writing that they wish to defer half of the remaining transportation impact fees (25 percent of the total transportation impact fees) until prior to final inspection. In such cases, all fees must be paid prior to scheduling said final inspection. Applications for commercial projects must pay all remaining fees at building permit issuance.
4 These commercial and industrial customers shall be given the option of paying the full payment at building permit issuance or half of the fee at permit issuance and the other half at initial occupancy.
(Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.070 Service area.
For the purpose of this chapter, the City shall be composed of three service areas: District 1 shall include the area contained within the geographic scope of the Main Street Master Plan and fees associated with District 1 shall be incorporated into Attachment B1; District 2 shall include the remaining area of the City, with the exception of the City Center zone, and fees associated with District 2 shall be incorporated into Attachment B2. District 3 shall include the City Center and Urban Residential zones, as defined herein, and fees associated with District 3 shall be incorporated into Attachment B3. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.080 Exemptions.
The City has determined that the uses described below shall be exempt from transportation impact fees. Recognizing that such uses can and will have impacts to the transportation system, the cost of absorbing such impacts will be paid from public funds other than the impact fee fund.
A. The transportation impact fees referenced in this chapter shall not apply to the following:
1. Alteration, expansion, enlargement, remodeling, rehabilitation, or conversion of an existing unit where no additional units are created and the use is not changed.
2. A change in use that results in no additional impact to the City’s transportation system.
3. The construction of accessory structures that will not create additional transportation impacts on system improvements.
4. A structure moved from one location within the City to another location within the City for the same use. The vacated lot will not be exempted from paying all appropriate impact fees upon development.
B. The Director shall be authorized to determine whether a particular development for a proposed building permit, or certificate of occupancy if no building permit is required, falls within an exemption of this chapter. Determinations of the Director shall be subject to the appeals procedures set forth in FMC 15.44.170. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.090 Assessment of transportation impact fees.
A. An impact fee schedule setting forth the amount of the transportation impact fees to be paid by a development is set out in Attachments B1, B2 and B3, as applicable, and incorporated herein by this reference.
B. The impact fee schedule, as set out in Attachments B1, B2 and B3, shall be recalculated on an annual basis, and as part of Comprehensive Plan updates mandated by Washington State. In order to ensure impact fees reflect the actual cost of construction projections, the fees shall be updated on or before January 1st each year, at a rate adjusted in accordance with the October to October CPI-U for Seattle/Bremerton.
C. Repealed by Ord. 1898.
D. The impact fee amount is calculated by using the following formula:
|
Amount of transportation impact fee that shall be paid for that development use |
= |
Number of units of each use |
X |
Transportation impact fee per unit amount |
1. The number of units of each use is determined as follows: (a) for residential uses it is the number of dwelling units for which a building permit application has been made; and (b) for office, retail, or manufacturing uses it is the gross floor area of building(s) to be used for each use expressed in square feet divided by 1,000 square feet, or in the units defined in the schedules.
2. Using the formula in this subsection (D), transportation impact fees shall be calculated separately for each use. The transportation impact fees that shall be paid are the sum of these calculations.
3. If a development activity will include more than one use in a building or site, then the transportation impact fee shall be determined using the above formula by apportioning the space committed to the various uses specified on the schedule in Attachments B1, B2 and B3.
4. If the type of use or development activity is not specified on the transportation impact fee schedules in Attachments B1, B2 and B3, the Director shall use the transportation impact fee applicable to the most comparable type of land use on the fee schedule. The Director shall be guided in the selection of a comparable type by the most recent trip generation manual (Institute of Transportation Engineers) or other recognized national standard.
E. An applicant may provide improvements, programs, or services on site or off site which reduce vehicular travel demand relative to the normal assumptions for reducing weekday p.m. peak hour off-site trip generation and may be credited for those measures in proportion to the volume of peak hour travel activity removed from the off-site road system. Applicants requesting such consideration must provide the City with the following information and assurances, as part of the independent fee calculation described above:
1. Description of Demand Management Action. The developer must supply data, drawings, and other descriptions as needed to fully explain the concept and demonstrate its effectiveness in reducing vehicular travel off site. Include supporting analyses as necessary by qualified professional experts acceptable to the City.
2. Assurance of Commitment. The developer must include in the development application a statement of what legal commitments the developer will make to assure the ongoing effectiveness of the proposed measures. Such commitments will later be included in the City’s conditions on development approval.
3. Examples of Demand Reduction Measures. The developer should consult with knowledgeable professionals to select demand management actions which will be effective for the proposed site, and to design the site plan with this objective in mind. Demand management actions may be appropriate in any of the following areas, depending on the site and the proposed land use:
a. Site Design. Encourage alternative modes by the design of the site. Retain trips within the site by mixed land uses.
b. Site Operations. Provide services after construction to support and maintain demand reduction levels.
c. Transit and Ridesharing Support. Provide services and incentives for residents and employees to use other modes.
d. Pedestrian and Bicycle Support. Provide for nonmotorized modes in site design.
e. The City may supplement this list administratively through the establishment of a transportation demand reduction manual that is hereby incorporated by reference.
4. City Center Transportation Demand Management Incentives. The City will authorize a further reduction to transportation impact fees of up to five percent for those developments that establish permanent pedestrian features which improve or enhance the walkability, safety, and pedestrian scale of the Downtown environment, pursuant to the requirements of Chapter 18.47 FMC. These features are subject to the review of Community Development Director, and may include, but are not limited to, the following:
a. Three percent reduction: compliance with the minimum standards and number of elements of FMC 18.47.060 through 18.47.170.
b. Additional reductions (not to exceed five percent, including this subsection and subsection (E)(4)(a) of this section): compliance with subsection (E)(4)(a) of this section plus at least one additional element of FMC 18.47.060 through 18.47.170.
c. In certain cases, unique or significant elements may be considered for a reduction in lieu of the sum of proposed elements.
5. In the case of a change in use, development activity, redevelopment, or expansion or modification of an existing use, the transportation impact fee shall be based upon the net positive increase in the impact fee for the new development activity as compared to the impact fee that would have applied to the previous development activity. The Director shall be guided in this determination by the sources and agencies listed above.
F. As described in this section, the impact fees set forth in the schedule included in Attachment B shall be presumed valid and appropriate, unless revised pursuant to the following provisions:
1. An applicant may request a credit following the procedures set forth in FMC 15.44.110.
2. An applicant may submit an independent fee calculation following the procedures set forth in FMC 15.44.100. (Ord. 2035 § 1, 2018; Ord. 1961 § 1 (Exh. A), 2016; Ord. 1916 § 6, 2015; Ord. 1898 § 1, 2015; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.100 Independent fee calculations.
A. If, in the judgment of the Director, none of the land use categories set forth in the fee schedule in Attachment B accurately describe the proposed land use, the applicant shall provide to the Department for its review and evaluation an independent fee calculation, prepared by a traffic engineer included in the City’s approved consultant list or approved by the Director and paid for by the applicant. The independent fee calculation shall show the basis upon which it was made and shall include, but not be limited to, trip generation characteristics. The Director may accept this calculation and impose an impact fee based on this calculation, or it may obtain a second independent fee calculation and then decide which impact fee calculation is more appropriate. The second independent fee calculation will be paid for by the City, but administrative costs necessary to review the second independent fee calculation will be charged to the applicant on an hourly basis.
B. If an applicant requests not to have the impact fees determined according to the schedule in Attachment B, then the applicant shall submit to the Director an independent fee calculation, prepared by a traffic engineer included in the City’s approved consultant list or approved by the Director and paid for by the applicant. The independent fee calculation shall show the basis upon which it was made and shall include, but not be limited to, trip generation characteristics.
C. When an independent fee calculation is sought under subsection (B) of this section, the City may issue a building permit, or certificate of occupancy when no building permit is required for a change in use, prior to completion of the independent fee calculation; provided, that the impact fee must be collected based on the fee schedule in Attachment B at the time of payment as described by this chapter. If the Director ultimately approves the independent fee calculation, the City shall refund the portion of the fee that exceeds the approved independent fee calculation.
D. Any independent fee calculation proposed under this section shall be accompanied by a study that complies with the following standards:
1. The study shall follow accepted traffic impact fee assessment practices and methodologies and be consistent with the methods used in developing the City’s transportation impact fee schedules.
2. The study shall use acceptable data sources and the data shall be comparable with the uses and intensities proposed for the proposed development activity.
3. The study shall comply with the applicable state laws governing impact fees, including RCW 82.02.050 through 82.02.100 as these statutes may be amended from time to time.
4. The study, including any data collection and analysis, shall be prepared and documented by a professional traffic engineer.
5. The study shall show the basis upon which the independent fee calculation was made.
E. The Director shall consider the independent fee calculation study and related documentation submitted by the applicant, but is not required to accept the calculation if the Director decides that the study is not accurate or reliable. If the Director finds the study to be unreliable, the Director may require the applicant to submit additional or different documentation for consideration. If the Director decides that third-party engineers are needed to review the calculation and related documentation, the applicant shall pay for the reasonable cost of a review by such engineers. If an acceptable independent fee calculation study is not presented, the applicant shall pay the transportation impact fees based upon the process and schedules referenced in this chapter. If an acceptable independent fee calculation study is presented, the Director may adjust the fee to an appropriate amount.
F. Determinations made by the Director pursuant to this section may be appealed to the Hearings Examiner subject to the procedures set forth in FMC 15.44.170. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.110 Credits.
A. An applicant may request a credit for the value of dedicated land, improvements, or construction if the land and/or the facility constructed are (1) required as a condition of development approval; and (2) included within the project list entitled Transportation Impact Fee Project List, which is attached to the ordinance codified in this chapter as Attachment A, and incorporated herein by reference as if set forth in full.
B. Each request for a credit or credits shall include a legal description of land donated, a detailed description of improvements or construction provided, and a legal description or other adequate description of the development to which the credit will be applied.
C. The credit shall not exceed the impact fee payable by the applicant.
D. For each request for a credit, the land value or costs of construction shall be determined as follows:
1. The amount of credit for land dedicated shall be the higher of either the value of the land established in the impact fee project list, if such value is identified, or by an appraisal conducted by an independent professional appraiser chosen by the fee payer from a list of at least three such appraisers provided by the City. The cost of the appraisal shall be borne by the fee payer. For purposes of this section, the date of value shall be the date the land was dedicated to the City. The appraisal shall only value the land dedicated and not any alleged damages to any abutting property.
2. The amount of credit for facilities constructed shall be based upon the actual cost of construction at the time of construction.
E. After the Director has determined the amount of the credit, the Department shall include the determination with issuance of the building permit along with a statement setting forth the dollar amount of the credit, the basis for the credit, and, where applicable, the description of the land dedicated and the date of the determination.
F. Any credit must be requested before payment of the impact fee and prior to issuance of the building permit or other construction permit. When development proposals would create additional lots, a credit request must be made prior to the legal establishment of lots. Any claim not so made shall be deemed waived. Credits may be utilized to address all or part of the first required payment of transportation impact fees made to the City, and credits may be provided up to the total cost of all transportation impact fees owing to the City.
G. No credit shall be given for project improvements.
H. Determinations made by the Director pursuant to this chapter shall be subject to the appeals procedures set forth in FMC 15.44.170. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.120 Project list.
A. The project list for the City’s transportation impact fee program is established in Attachment A and is herein incorporated by reference.
B. Transportation impact fees shall only be imposed for system improvements that are reasonably related to the new development.
C. Transportation impact fees shall not exceed a proportionate share of the costs of system improvements that are reasonably related to the new development.
D. Transportation impact fees shall be used for system improvements that will reasonably benefit the new development.
E. Transportation impact fees must be spent on system improvements included in the project list (Attachment A).
F. The Director shall periodically review the project list and costs for the transportation impact fee program and shall recommend updates, if any, as part of an amendment to this chapter. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.130 Time of payment of fees.
A. All applicants shall pay an impact fee in accordance with the provisions of this chapter. The impact fee paid shall be based upon the schedule in effect at the time of payment. Any deferred payments shall be based upon the schedule in effect at the time of deferral.
B. If the development is modified or conditioned in such a way as to alter the land uses or unit count for the development after payment is made, the impact fee will be recalculated accordingly, based on the provisions of this chapter. If the recalculated fee is greater than the previously paid fee, the City shall withhold or revoke the certificate of occupancy until the updated fee is paid. Deferred payments must include any unpaid fees resulting in such calculation. If the recalculated fee is less than the previously paid fee, then the City will refund the difference, unless the fees have already been spent or encumbered by the City.
C. With the exception of those residential building permits that are utilizing a fee deferment option, no building permit shall be issued, pursuant to FMC 14.07.090(G). In no circumstance may a certificate of occupancy be issued until the corresponding impact fee is paid.
D. Impact fees may be paid under protest in order to obtain a permit or other approval of development activity. (Ord. 2037 § 4 (Att. 4), 2018; Ord. 1961 § 1 (Exh. A), 2016; Ord. 1916 § 6, 2015; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.140 Impact fee account.
A. There is created and established a special purpose, non-lapse transportation impact fee fund. As necessary, the City shall establish separate accounts within such fund and maintain records for each such account whereby transportation impact fees collected can be segregated by service area in accordance with this chapter.
B. All interest shall be retained in the account and expended for the purposes for which the impact fees were imposed.
C. The City shall provide a report for the previous calendar year on the impact fee account showing the source and amount of moneys collected, earned or received and system improvements that were financed in whole or in part by impact fees.
D. The transportation impact fees paid to the City shall be held and disbursed as follows:
1. The transportation impact fees collected shall be placed in a deposit account within the impact fee fund;
2. When the Council appropriates capital improvement project (CIP) funds for a project on the project list, the fees held in the transportation impact fee fund shall be transferred to the CIP fund. Any non-impact fee moneys appropriated for the project may comprise both the public share of the project cost and an advancement of that portion of the private share that has not yet been collected in transportation impact fees;
3. The first money spent by the Finance Director on a project after a Council appropriation shall be deemed to be the fees from the impact fee fund;
4. Fees collected after a project has been fully funded by means of one or more council appropriations shall constitute reimbursement to the City of the public moneys advanced for the private share of the project;
5. Projects shall be funded by a balance between transportation impact fees and public funds, and shall not be funded solely by transportation impact fees;
6. Transportation impact fees shall be expended or encumbered for a permissible use within the maximum time set forth by state law (RCW 82.02.070), unless an extraordinary or compelling reason exists for the fees to be held longer than the maximum time allowed by state law (RCW 82.02.070). The Finance Director may recommend to the Council that the City hold fees beyond the maximum time allowed by state law (RCW 82.02.070) in cases where extraordinary or compelling reasons exist. Such reasons shall be identified in written findings by the Council. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.150 Use of funds.
A. Transportation impact fees shall only be used for transportation system improvements identified in the capital facilities plan and on the project list as set forth in Attachment A.
B. Transportation impact fees referenced in this chapter may be spent for public improvements, including but not limited to planning, land acquisition, site improvements, necessary off-site improvements, construction, engineering, architectural, permitting, financing and administrative expenses, applicable impact fees or mitigation costs, capital equipment pertaining to planned facilities, and any other expenses which can be capitalized.
C. Transportation impact fees may also be used to recoup public 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 public improvements for which impact fees may be expended, impact fees may be used to pay the principal 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. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.160 Refunds.
A. An applicant may request and shall receive a refund when the developer does not proceed with the development activity for which transportation impact fees were paid, and the applicant shows that no impact has resulted, and the City has not yet spent or encumbered the fees; however, the impact fee administrative fee shall not be refunded. If the City has spent or encumbered the fees, no refund shall be made to the applicant.
B. If an owner appears to be entitled to a refund of transportation impact fees under RCW 82.02.080, the Finance Director shall notify the owner by first class mail deposited with the United States Postal Service at their last known address. The owner must submit a request for a refund to the Finance Director in writing within one year of the date the right to claim the refund arises or the date the notice is given, whichever is later. Any transportation impact fees that are not expended or encumbered within the time limitations established by this chapter, and for which no application for a refund has been made within this one-year period, shall be retained and expended on any transportation project.
C. In the event that transportation impact fees must be refunded for any reason, they shall be refunded with interest earned to the owners as they appear of record with the Whatcom County Assessor at the time of refund.
D. If the City seeks to terminate any or all impact fee requirements, all unexpended or unencumbered funds 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 to the last known address of claimants. Claimants shall request refunds as in subsection (B) of this section. 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 must be expended on the system improvements included in the project list (Attachment A). This notice requirement shall not apply if there are no unexpended or unencumbered balances within an account or accounts being terminated. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.170 Appeals.
An applicant may appeal the amount of an impact fee determined by the Director as provided in Chapter 14.11 FMC, Decisions and Appeals. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.180 Authorization for interlocal agreements.
The City Council is authorized to execute, on behalf of the City, an interlocal agreement with other local governments for the collection, expenditure, and reporting of impact fees. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.190 Relationship to State Environmental Policy Act (SEPA).
A. All development shall be subject to environmental review pursuant to SEPA and other applicable City ordinances and regulations.
B. Further mitigation in addition to the impact fee shall be required for identified adverse impacts appropriate for mitigation pursuant to SEPA that are not mitigated by an impact fee.
C. Nothing in this chapter shall be construed to limit the City’s authority to deny development permits when a proposal would result in significant adverse transportation impacts identified in an environmental impact statement and reasonable mitigation measures are insufficient to mitigate the identified impact. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.200 Relationship to concurrency management.
Neither compliance with this chapter nor the payment of any fee hereunder shall constitute a determination of transportation concurrency under this chapter. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
15.44.210 Necessity of compliance.
A building permit, or other construction permit in those instances where a building permit is not required, issued after the effective date of the ordinance codified in this chapter shall be null and void if issued without substantial compliance with this chapter by the Department, the approving authority and the Director. (Ord. 1961 § 1 (Exh. A), 2016; Ord. 1753 § 1 (Exh. A), 2012; Ord. 1708 § 1, 2012; Ord. 1648 § 1, 2011)
Code reviser’s note: Attachment B to Ord. 2035 is on file in the office of the City Clerk.
Code reviser’s note: Attachment A to Ord. 1708 is on file in the office of the City Clerk.
Code reviser’s note: Attachment B to Ord. 2035 is on file in the office of the City Clerk.