Chapter 3.10
LATECOMER AGREEMENTS

Sections:

3.10.010    Purpose.

3.10.020    Latecomer agreement – Defined.

3.10.030    Projects as prerequisite to property development.

3.10.040    Latecomer agreements authorized.

3.10.050    Reimbursement costs – Determination.

3.10.060    Reimbursement assessment – Procedures.

3.10.070    Provisions not exclusive.

3.10.080    Property owner participation in improvement projects.

3.10.090    City participation.

3.10.100    Enforcement of latecomer obligations.

3.10.110    Severability.

3.10.010 Purpose.

The provisions of this chapter shall be adopted to establish a uniform methodology and process for the administration of latecomer agreements applied for after the effective date of the ordinance codified in this chapter, for developers in circumstances where a developer uses private funds to construct a public utility and/or street improvement(s) and desires to be compensated by property owners benefited by the improvements. [Ord. 17-11 § 1.01].

3.10.020 Latecomer agreement – Defined.

“Latecomer agreement” shall be defined as an agreement between the city and a property owner for the sole purpose of reimbursing such owner for costs incurred by that owner for the installation of a public utility and/or street improvement(s). Said improvements shall have a reasonable possibility of directly benefiting future development by other properties within the area. [Ord. 17-11 § 1.01].

3.10.030 Projects as prerequisite to property development.

A. This chapter of the Richland Municipal Code constitutes the regulations of the city requiring certain projects as a prerequisite to further property development. Owners of real estate constructing or improving a public utility and/or street

improvement(s) pursuant to such authority may enter into a latecomer agreement with the city, consistent with Chapter 35.72 RCW for street construction, Chapter 35.91 RCW for utility construction and this chapter.

B. The public works director is hereby authorized and directed to execute a latecomer agreement at the request of the property owner upon council approval. The agreement shall be executed in conformance with guidelines developed by the city and provided in RMC 3.10.060. It shall be the owner’s responsibility to keep a current address on record with the city at all times during the life of the payback agreement.

C. All properties connected to a public utility and/or street improvement(s) systems, for which a latecomer agreement is in force and which property has not been assessed or has not borne an equitable share of the cost of such public system, shall be subject to a latecomer connection charge. The connection charge shall be based on a pro rata share of the costs as stated in the latecomer agreement, at the reasonable discretion of the public works director. Payment of the payback charge shall be made in full to the owner designated in the agreement and a release of acceptance of such payment shall be provided to the city prior to connecting to the public utility and/or street improvement(s).

D. It shall be the city’s duty to collect all such appropriate connection charges and to remit such moneys to the developer designated in the agreement, for the terms provided in RMC 3.10.040(B) and (C). [Ord. 17-11 § 1.01].

3.10.040 Latecomer agreements authorized.

A. The city council of the city of Richland may, by ordinance, direct the public works director (“director”) to enter into a latecomer agreement with an applicant for a development or building permit. The agreement shall provide for partial reimbursement of the cost of making a public utility and/or street improvement(s) by assessments against other property owners who:

1. Are determined to be within the assessment reimbursement area pursuant to RMC 3.10.060;

2. Are determined to have a reimbursement share based upon a benefit to the property owner pursuant to RMC 3.10.050;

3. Did not contribute a proportionate share of the original cost of the public street, water, sewer or stormwater improvement; and

4. Subsequently develop their property within the allowable period and at the time of development are not required to install similar street improvements because the improvements were already constructed by the applicant in accordance with this chapter.

B. No street latecomer agreements may encompass a period greater than 15 years.

C. No utility latecomer agreements may encompass a period greater than 20 years.

D. Street improvements, and associated costs, which may be subjects of latecomer agreements are set forth as follows:

1. Paved roadways;

2. Street light systems:

3. Sidewalks and walkways;

4. Curbs and gutters;

5. Storm drainage systems;

6. Traffic controls;

7. Utilities within or adjacent to street right-of-way not provided for in other agreements or methods of finance;

8. Streetscape, i.e., landscaping associated with street improvements;

9. Easements, rights-of-way, fee interests, access authorizations, and other rights and interests for street improvements; and

10. Design and engineering costs. [Ord. 17-11 § 1.01].

3.10.050 Reimbursement costs – Determination.

Reimbursement amounts shall be a pro rata share of construction and contract administration costs including, but not limited to, design and engineering costs of the project. The director shall determine the reimbursement share by using a method of cost apportionment which is based upon the benefits to the property owner from such property. [Ord. 17-11 § 1.01].

3.10.060 Reimbursement assessment – Procedures.

The procedures for latecomer agreements shall be as follows:

A. An assessment reimbursement area shall be formulated by the director based upon a determination as to which parcels adjacent to or in the vicinity of the improvements would require similar public utility and/or street improvement(s) upon development.

B. The preliminary determination of area boundaries and assessments, along with a description of the property owner’s rights and options, shall be forwarded by the city via registered mail to the property owners of record within the proposed assessment area. This notice shall advise them of the hearing to be conducted before the city council within 20 days of the mailing of the preliminary determination.

C. The city council’s ruling is determinative and final.

D. The council’s ruling rejecting an assessment reimbursement area and program shall be by resolution or by minute entry in the official council minutes. The council’s ruling establishing an assessment area and program shall be by ordinance.

E. The contract may be formulated prior to or after the determination of the assessment reimbursement area, but shall not become final until after the council’s determination under subsection (D) of this section.

F. The latecomer agreement shall be recorded with the Benton County auditor’s office within 30 days of the final execution of the agreement. The city shall be responsible for recording the agreement and the cost of recording shall be at the developer’s expense.

G. If the agreement is so filed, it shall be binding on owners of record, their successors and assigns within the assessment area who are not party to the contract. [Ord. 17-11 § 1.01].

3.10.070 Provisions not exclusive.

The authority to enter into agreements as provided in this chapter shall be in addition to the authority of the city pursuant to the police power and other statutes, laws, rules and ordinances and shall not be deemed exclusive. [Ord. 17-11 § 1.01].

3.10.080 Property owner participation in improvement projects.

Development proposals located within a designated assessment reimbursement area that will benefit from a pre-established public utility and/or street improvement(s) constructed pursuant to the creation of an assessment reimbursement area shall as a prerequisite and condition to approval contribute the appropriate reimbursement share designated by the formula set forth in the applicable latecomer agreement. This requirement shall be based upon the terms of the applicable latecomer agreement and the applicable sections of the city’s SEPA ordinance as codified in Chapter 22.09 RMC and the terms and requirements of the policies referred to therein. [Ord. 17-11 § 1.01].

3.10.090 City participation.

Pursuant to RCW 35.72.050, as now existing or hereafter amended, the city may join in the financing of improvement projects and may be reimbursed in the same manner as the owners of real estate who participate in the projects. The terms and conditions of the city’s participation shall be specified in the ordinance adopting the assessment reimbursement area and program under RMC 3.10.060(D). [Ord. 17-11 § 1.01].

3.10.100 Enforcement of latecomer obligations.

A. In processing and imposing obligations in this chapter for reimbursement of developers, the city in no way guarantees payment of assessments by latecomers, or enforceability of assessments, or enforceability of the latecomer agreement or the amount(s) thereof against such persons or property. Nor will the offices or finances of the city be used for enforcement or collection of latecomer obligations beyond those duties specifically undertaken by the city herein. It shall be the obligations of a developer to take whatever authorized means are available to enforce payment of latecomer assessments; and developers are hereby authorized to take such actions. The city shall not be responsible for locating any beneficiary or survivor entitled to any benefits by or through a latecomer agreement.

B. Any funds collected under this chapter that are unclaimed by developers after three years from the expiration of the latecomer agreement shall be returned to the parties making payment to the city, if they may be reasonably found and minus any reasonable administrative processing costs. Any undeliverable funds shall inure to the benefit of the city. [Ord. 17-11 § 1.01].

3.10.110 Severability.

If any section, subsection, sentence, clause, phrase, or word of this chapter should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality thereof shall not affect the validity or constitutionality of any other section, subsection, sentence, clause, phrase, or word of the ordinance codified in this chapter. [Ord. 17-11 § 1.01].