Chapter 3.50
SCHOOL IMPACT FEES
Sections:
3.50.010 Findings – Authority and studies.
3.50.040 Interlocal agreement between the city and district.
3.50.050 Submission of district capital facilities plan and data.
3.50.070 Impact fee program elements.
3.50.090 Fee calculations – Application fee.
3.50.100 Maintenance of fees collected.
3.50.110 Assessment and collection of impact fees.
3.50.115 Single-family residential deferral program.
3.50.120 Determination of the fee – Adjustments, exceptions.
3.50.135 Appeal cost reimbursement.
3.50.140 Impact fee accounts and refunds.
3.50.150 Existing authority unimpaired.
3.50.005 Authority.
The ordinance codified in this chapter is adopted as an official control to implement Sumner’s comprehensive plan policies, the Growth Management Act, chapter 36.70A RCW, RCW 82.02.050 through 82.02.100; and the State Subdivision Act, chapter 58.17 RCW. This chapter is also necessary to address identified impacts of new development on schools, in order to protect the public health, safety and welfare. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.010 Findings – Authority and studies.
The city council finds and determines that new growth and development in the city, including but not limited to new residential, commercial, retail, and office development, will create increased demand on public facilities including parks, open space and recreational facilities, streets and roads, and public schools, and further finds that growth and development should pay a proportionate share of the cost of such planned facilities needed to serve that growth and development activity. The Sumner-Bonney Lake and Dieringer school districts have requested that the city impose school impact fees on the districts’ behalf and each has prepared a capital facilities plan documenting the impact of new development within the Sumner-Bonney Lake and Dieringer school districts on school district facilities. The city council accepts the methodology and data contained in the capital facilities plan. Therefore, pursuant to chapter 82.02 RCW, the city council adopts this chapter to assess impact fees for public schools within the Sumner-Bonney Lake and Dieringer school districts.
The city expressly reserves the right to conduct and rely on future studies and reports referenced by the city council to make future adjustments to impact fees. It is the desire of the city of Sumner to have new development assessed impact fees in an orderly and uniform manner and will endeavor to have common formulas and administrative processes for the levying of these fees. Therefore, pursuant to chapter 82.02 RCW, the city council adopts this chapter to assess school impact fees. The provisions of this chapter shall be liberally construed in order to carry out the purpose of establishing the city of Sumner impact fee program. (Ord. 2718 § 1, 2019: Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.020 Definitions.
For purposes of this chapter, the following terms shall have the indicated meanings:
A. “Capacity” means the number of students the school district’s facilities can accommodate district-wide, based on the district’s standard of service, as determined by the district.
B. “Capital facilities plan” means the district’s facilities plan adopted by the school board consisting of:
1. A forecast of future needs for school facilities based on the district’s enrollment projections;
2. An identification of additional demands placed on existing public facilities by new development;
3. The long-range construction and capital improvement projects of the district;
4. The schools under construction or expansion;
5. The proposed locations and capacities of expanded or new school facilities;
6. An inventory of existing school facilities, including permanent, transitional and relocatable facilities;
7. At least a six-year financing component, updated as necessary to maintain at least a six-year forecast period, for financing needed for school facilities within projected funding levels, and identifying sources of financing for such purposes, including bond issues authorized by the voters;
8. An identification of deficiencies in school facilities serving the student populations and the means by which existing deficiencies will be eliminated within a reasonable period of time; and
9. Any other long-range projects planned by the district.
C. “City” means the city of Sumner.
D. “Classrooms” means district educational facilities required to house students for its basic educational program. The classrooms are those facilities the district determines are necessary to best serve its student population. Specialized facilities as identified by the district, including but not limited to gymnasiums, cafeterias, libraries, administrative offices, and child care centers, shall not be counted as classrooms.
E. “Construction cost per student” means the estimated cost of constructing a permanent school facility in the district for the grade span of school to be provided, as a function of the district’s design standard per grade span.
F. “Design standard” means the space required, by grade span and taking into account the requirements of students with special needs, which is needed in order to fulfill the educational goals of the district as identified in the district’s capital facilities plan.
G. “District” means the Sumner-Bonney Lake school district and/or the Dieringer school district.
H. “Developer” means the person or entity that owns or holds purchase options or other development control over property for which development activity is proposed.
I. “Development activity” means any construction or expansion of a residential building, structure or use, any change in use of a residential building or structure, or any change in the use of land that creates additional demand for school facilities where such activity requires approval or issuance of a plat, short plat, cluster development, site development permit, residential building permit, mobile home permit, or mobile home park site plan.
J. “Elderly” means a person aged 62 or older.
K. “Encumbered” means impact fees identified by the district as being committed as part of the funding for a school facility for which the publicly funded share has been assured or building permits sought or construction contracts let.
L. “Grade span” means the categories into which the district groups its grade of students; i.e., elementary, middle or junior high school, and high school.
M. “Impact fee” means a payment of money imposed upon development as a condition of development approval to pay for school facilities needed to serve new growth and development, that is reasonably related to the new development that creates additional demand and need for public facilities, that is a proportionate share of the cost of the public facilities, and that is used for facilities that reasonably benefit the new development. “Impact fee” does not include a reasonable permit or application fee.
N. “Impact fee schedule” means the table of impact fees to be charged per unit of development, computed by the formula adopted under this chapter, indicating the standard fee amount per dwelling unit that shall be paid as a condition of residential development within the city.
O. “Net fee obligation” means the maximum impact fee obligation that may be assessed as determined in the school district capital facilities plan. The net fee obligation is based on a district-wide formula that takes into consideration factors such as site acquisition costs, permanent and temporary facilities construction costs, state match credits, and tax credits.
P. “Interlocal agreement” means the agreement between the district and the city, governing the operation of the school impact fee program and describing the relationship, duties and liabilities of the parties.
Q. “Permanent facilities” means facilities of the district with a fixed foundation that are not relocatable facilities.
R. “Relocatable facilities” means any factory-built structure, transportable in one or more sections, that is designed to be used as an education space and is needed to prevent the overbuilding of school facilities, to meet the needs of service areas within the district or to cover the gap between the time that families move into new residential developments and the date that construction is completed on permanent school facilities.
S. “Relocatable facilities cost per student” means the estimated cost of purchasing and siting a relocatable facility in the district for the grade span of school to be provided, as a function of the district’s design standard per grade span.
T. “Site cost per student” means the estimated cost of a site in the district for the grade span of school to be provided, as a function of the district’s design standard per grade span.
U. “Standard of service” means the standard adopted by the district which identifies the program year, the class size by grade span and taking into account the requirements of students with special needs, the number of classrooms, the types of facilities the district believes will best serve its student population, and other factors as identified by the district. The district’s standard of service shall not be adjusted for any portion of the classrooms housed in relocatable facilities which are used as transitional facilities or any other specialized facilities housed in relocatable facilities.
V. “Student factor” means the number derived by the district to describe how many students of each grade span are expected to be generated by a dwelling unit. Student factors shall be based on district records of average actual student generated rates for new developments constructed over a period of not more than five years prior to the date of the fee calculation; provided, that if such information is not available in the district, data from adjacent districts, or districts with similar demographics, or county-wide averages may be used. Student factors must be updated on an annual basis, and separately determined for single-family and multifamily dwelling units and for grade spans.
W. “Transitional facilities” means those school facilities that are being used pending the construction of permanent facilities; provided, that the necessary financial commitments are in place to construct the permanent facilities. (Ord. 2718 § 2, 2019; Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.030 Exemptions.
The following development activities do not create any additional school impacts and are exempt from the requirements of this chapter:
A. Reconstruction, remodeling or construction of the following facilities, subject to the recording of a covenant or recorded declaration of restrictions precluding use of the property for other than the exempt purpose; provided, that if the property is used for a non-exempt purpose, then the school impact fees then in effect shall be paid:
1. Shelters or dwelling units for temporary placement, which provide housing to persons on a temporary basis for not more than four weeks.
2. Construction or remodeling of transitional housing facilities or dwelling units that provide housing to persons on a temporary basis for not more than 24 months, in connection with job training, self-sufficiency training and human services counseling, the purpose of which is to help persons make the transition from homelessness to placement in permanent housing.
3. Any form of housing for the elderly, including nursing homes, retirement centers, and any type of housing units for persons age 55 and over, which have recorded covenants or recorded declaration of restrictions precluding school-aged children as residents in those units.
B. Low or moderate income housing with a recorded lien, covenant, or other contractual provision consistent with subsection (B)(1) of this section. For purposes of this subsection, “low income” means a family earning between zero and 50 percent of the Pierce County median household income and “moderate income” means a family earning between 51 and 80 percent of the Pierce County median household income. The amount of the school impact fees not collected from low or moderate income housing developments shall be paid from public funds other than impact fee accounts. In no event shall this subsection be construed to require the city to provide any funds for school impact fees not collected.
1. As a condition of receiving an exemption under this subsection, the owner shall execute and record in Pierce County’s real property title records a city-drafted lien, covenant, or other contractual provision against the property that provides that the proposed housing unit or development will continue to be used for low or moderate income housing for a period of not less than 30 years. In the event that the property does not comply with the affordability requirements of the covenant then the owner shall pay a school impact fee based upon the schedule then in effect. The lien, covenant, or other contractual provision shall run with the land and apply to subsequent owners and assigns in the event that the housing unit(s) are exempted.
2. Any request for an exemption under this subsection shall be made prior to issuance of a building permit. If a building permit is not required for the development, then the exemption request shall be made when the first development permit is applied for. Any request not made when required by this subsection shall be deemed waived.
3. The school districts shall pay or bear the cost of the impact fees that are not collected pursuant to this exemption.
C. Rebuilding of legally established dwelling unit(s) destroyed or damaged by fire, flood, explosion, act of God or other accident or catastrophe, or remodeling of existing legally established dwelling unit(s); provided, that such rebuilding takes place within a period of one year after destruction, and so long as no additional dwelling units are created.
D. Condominium projects in which existing dwelling units are converted into condominium ownership and where no new dwelling units are created.
E. Any development activity that is exempt from the payment of an impact fee pursuant to RCW 82.02.100, due to mitigation of the same system improvement under the State Environmental Policy Act.
F. Any development activity for which school impacts have been mitigated pursuant to a condition of plat approval to pay fees, dedicate land or construct or improve school facilities, unless the condition of the plat approval provides otherwise; provided, that the condition of the plat approval predates the effective date of fee imposition as provided in SMC 3.50.070(C).
G. Any development activity for which school impacts have been mitigated pursuant to a voluntary agreement entered into with the district to pay fees, dedicate land or construct or improve school facilities, unless the terms of the voluntary agreement provide otherwise; provided, that the agreement predates the effective date of fee imposition as provided in SMC 3.50.070(C). (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.040 Interlocal agreement between the city and district.
As a condition of the city’s authorization and adoption of a school impact fee ordinance, the city and each district shall enter into an interlocal agreement governing the operation of the school impact fee program, and describing the relationship and liabilities of the parties thereunder. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.050 Submission of district capital facilities plan and data.
A. On an annual basis, each school district shall submit the following materials to the city council:
1. The district’s capital facilities plan (as defined in SMC 3.50.020) adopted by the school board;
2. The district’s enrollment projections over the next six years, its current enrollment and the district’s enrollment projections and actual enrollment from the previous year;
3. The district’s standard of service;
4. The district’s overall capacity over the next six years, which shall take into account the available capacity from school facilities planned by the district but not yet built and be a function of the district’s standard of service as measured by the number of students which can be housed in district facilities;
5. An inventory of the district’s existing facilities.
B. To the extent that the district’s standard of service identifies a deficiency in its existing facilities, the district’s capital facilities plan must identify the sources of funding other than impact fees, for building or acquiring the necessary facilities to serve the existing student population in order to eliminate the deficiencies within a reasonable period of time.
C. Facilities to meet future demand shall be designed to meet the adopted standard of service. If sufficient funding is not projected to be available to fully fund a capital facilities plan which meets the adopted standard of service, the district’s capital facilities plan should document the reason for the funding gap, and identify all sources of funding that the district plans to use to meet the adopted standard of service.
D. Each district shall also submit an annual report to the city council showing the capital improvements which were financed in whole or in part by the impact fees.
E. In its development of the financing plan component of the capital facilities plan, the district shall plan on a six-year horizon and shall demonstrate its best efforts by taking the following steps:
1. Establish a six-year financing plan, and propose the necessary bond issues and levies required by and consistent with that plan and as approved by the school board consistent with RCW 28A.53.020, 84.52.052 and 84.52.056 as amended; and
2. Apply to the state for funding, and comply with the state requirements for eligibility to the best of the district’s ability. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.060 Annual council review.
Repealed by Ord. 2661. (Ord. 2420 § 1 (part), 2012)
3.50.070 Impact fee program elements.
A. The city shall impose impact fees on every development activity in the city for which a fee schedule has been established.
B. Any impact fee imposed shall be reasonably related to the impact caused by the development and shall not exceed a proportionate share of the cost of system improvements that are reasonably related to the new development. The impact fee formula shall account in the fee calculation for future revenues the district will receive from the development.
C. The impact fee shall be based on the capital facilities plan developed by the district and approved by the school board, and adopted by reference by the city as part of the capital facilities element of the comprehensive plan for the purpose of establishing the fee program. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.080 Use of funds.
Pursuant to this chapter:
A. Impact fees collected for system improvements shall be used only in conformance with the most recent capital facilities plan adopted by the city council solely for those purposes and only in the service area from which they were collected.
B. Impact fees shall not be used to eliminate or reduce background deficiencies in existing facilities serving existing developments.
C. Impact fees shall not be used for maintenance or operation expenses.
D. Impact fees may be spent for public improvements for planned facilities, including, but not limited to: planning; land acquisition; right-of-way acquisition; site improvements, necessary off-site improvements, construction, easement or access acquisition; engineering; permitting, financing, and administrative expenses, applicable impact fees or mitigation costs, architectural design, and any other expenses which can be capitalized.
E. Impact fees may also be used to recoup public improvement costs previously incurred by the city or district to the extent that the new growth and development activity will be served by the previously constructed improvements or incurred costs.
F. 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 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. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.090 Fee calculations – Application fee.
A. Separate fees shall be calculated for single-family and multifamily types of dwelling units, and separate student generation rates must be determined by each district for each type of dwelling unit. For the purpose of this chapter, mobile homes shall be treated as single-family dwellings and duplexes shall be treated as multifamily dwellings.
B. Effective January 1, 2020, the school impact fee for those areas of the city within the Sumner-Bonney Lake school district is $3,815 per single-family residential unit, and $1,872 per multifamily residential unit.
C. Effective January 1, 2020, the school impact fee for those areas of the city within the Dieringer school district is $3,815 per single-family residential unit and $2,025 per multifamily residential unit.
D. Effective January 1, 2020, and each January 1st thereafter, said fees shall be adjusted according to the change in the Construction Cost Index (20-City Average) published by the Engineering News Record using February 2017 as the base value or the “net obligation fee,” whichever is less. The most recently published index shall be used to adjust the fee obligation for the following year. Each year, the adjustment shall be administratively implemented by the development services director or her/his designee.
E. The city shall collect a nonreimbursable administrative fee of $75.00 per filing per residential permit in order to cover the administrative cost of collecting, processing, and handling the impact fees described in this chapter. This administrative fee shall be assessed and collected on the date a complete application is filed for approval or issuance of a final plat, final short plat, cluster development, site development permit, residential building permit, mobile home permit, or mobile home park site plan, where the application fee for the lot or unit at issue has not been previously paid. (Ord. 2788 § 2, 2021; Ord. 2718 § 3, 2019: Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.100 Maintenance of fees collected.
The impact fee and the application fee shall be collected by the city, and maintained in separate accounts. All school impact fees shall be paid to the respective district from the school impact fee account on a quarterly basis. The city shall retain all application fees associated with the city’s administration of the impact fee program. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.110 Assessment and collection of impact fees.
A. Fees may be collected by the city from any applicant where such development activity requires final plat, PUD approval, issuance of a residential building permit or a mobile home permit, and the fee for the lot or unit has not previously been paid.
B. For existing lots or lots not covered by subsection (A) of this section, for application for single-family and multifamily residential building permits, a site development permit, a cluster development permit or a short plat approval, the total amount of the impact fees shall be assessed and collected from the applicant when the building permit is issued, using the impact fee schedules in effect at the time of building permit issuance, except that the applicant has the option to defer the payment of impact fees per SMC 3.50.115.
C. The city shall not grant final plat approval nor issue the required residential building permit unless and until the impact fees set forth in the impact fee schedule have been paid, or the deferral of impact fees is granted pursuant to SMC 3.50.115.
D. Any application for preliminary plat approval or multifamily development which has been approved subject to conditions requiring the payment of impact fees established pursuant to this chapter shall be required to pay the fee in accordance with the conditions of approval. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2650 § 1, 2018; Ord. 2577 § 1, 2016: Ord. 2576 § 1, 2016: Ord. 2525 § 1, 2015: Ord. 2489 § 1, 2014: Ord. 2420 § 1 (part), 2012)
3.50.115 Single-family residential deferral program.
A. An applicant for a building permit for a single-family detached or attached residence may request a deferral of the full impact fee payment until final construction inspection or 18 months from the date of original building permit issuance, whichever occurs first. Deferral of impact fees shall be in accordance with the following:
1. An applicant for deferral must request the deferral prior to the issuance of a building or site development permit. Failure by any applicant to submit a timely deferral application shall deem the deferral option waived.
2. For the purpose of this deferral program, the following definitions apply:
a. “Applicant” means and includes an entity that controls the applicant, is controlled by the applicant, or is under common control with the applicant.
b. “Single-family residence” means a permit for a single-family house as set forth in SMC 12.36.050, ITE Code 210.
3. To receive a deferral, an applicant must:
a. Submit an impact fee deferral application and acknowledgement form for each development for which the applicant wishes to defer payment of the impact fee;
b. Pay the applicable administrative fee;
c. Grant and record at the applicant’s expense a deferred impact fee lien in a form approved by the city against the property in favor of the city in the amount of the deferred impact fee that:
i. Includes the legal description, tax assessor number, and address of the property;
ii. Requires payment of the impact fees to the city prior to final inspection or 18 months from the date of original building or site development permit issuance, whichever occurs first;
iii. Is signed by all owners of the property, with all signatures acknowledged as required for a deed and recorded in Pierce County;
iv. Binds all successors in title after the recordation; and
v. Is junior and subordinate to one mortgage for the purpose of construction upon the same real property granted by the person who applied for the deferral of impact fees.
4. The amount of impact fees deferred shall be determined by the fees in effect at the time the applicant applies for a deferral.
5. Prior to final inspection or 18 months from the date of the original building or site development permit issuance, the applicant may pay the deferred amount in installments, with no penalty for early payment.
6. The city shall withhold final inspection until the impact fees have been paid in full. Upon receipt of final payment of impact fees deferred under this section, the city shall execute a release of the deferred impact fee lien for each development for which the impact fees have been received. The applicant, or property owner at the time of release, shall be responsible for recording the lien release at his or her expense.
7. The extinguishment of a deferred impact fee lien by the foreclosure of a lien having priority does not affect the obligation to pay the impact fees as a condition of final inspection.
8. If impact fees are not paid in accordance with the deferral and the term provisions established herein, the city may institute foreclosure proceedings in accordance with chapter 61.12 RCW.
9. Each applicant for a development, in accordance with his or her contractor registration number or other unique identification number, is entitled to annually receive deferrals under this section for the first 20 building or site development permits.
10. The applicant must pay an administrative fee of $250.00 at the time of building permit issuance. This fee will be applied to the full amount of deferred impact fees when paid.
11. It shall be a violation of SMC 15.08.020, subject to penalty under SMC 15.06.070 and 15.06.110, to occupy a building without final inspection and either a temporary certificate of occupancy or a certificate of occupancy. (Ord. 2711 § 1, 2019: Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2576 § 2, 2016)
3.50.120 Determination of the fee – Adjustments, exceptions.
A. The city shall determine a developer’s impact fee, based upon the schedule provided by the district.
B. Arrangement may be made for later payment of the impact fee with the approval of the district only if the district determines that it will be unable to use or will not need the payment until a later time; provided, that sufficient security, as defined by the district, is provided to assure payment. Security shall be made to and held by the district, which will be responsible for tracking and documenting the security interest.
C. The fee amount established in the schedule shall be reduced by the amount of any payment previously made for the lot or development activity in question, either as a condition of approval or pursuant to a voluntary agreement.
D. The fee payer shall be entitled to a credit against the applicable impact fee component for the present value of any dedication of land for, improvements to, or new construction of any public facilities, roads, streets, or other rights-of-way, park, or school system improvement provided by the development applicant to facilities that are identified in the capital facilities plan or any study justifying the impact fees imposed by this chapter and that are required as a condition of approval for the development proposal or any study justifying the impact fees imposed by this chapter.
1. The amount of the credit shall be determined no later than the time of application for the associated building permit. Any claim not so made shall be deemed to be waived.
2. Credit for dedication of land or improvements shall be based upon the cost assumptions contained within the capital facilities plan or any study justifying the impact fees imposed by this chapter, or established by an appraiser retained by the fee payer and approved by the department to determine the value of the dedicated land improvements or construction provided by the fee payer. The fee payer shall pay the cost of appraisal or any study justifying the impact fees imposed by this chapter.
3. After receiving the request for credit, the director shall provide the applicant with a letter or certificate setting forth the dollar amount of the credit, the reason for the credit, where applicable, the legal description of the site donated, and the legal description or other adequate description of the project or development to which the credit may be applied. If the accepted credit value is less than the calculated fee amount, the difference remaining shall be chargeable as an impact fee. In the event the amount of the credit is calculated to be greater than the amount of the impact fee due, the development applicant may apply such excess credit toward impact fees imposed on similar capital facilities for other developments within the same service area. Such credits are not transferable between applicants or service areas.
E. In cases where a developer requests an independent fee calculation, adjustment exception or a credit pursuant to RCW 82.02.060(3), the city shall consult with the district and the district shall advise the city prior to the city making the final impact fee determination.
F. A developer may provide studies and data to demonstrate that any particular factor used by the district may not be appropriately applied to the development proposal.
G. Impact fees may be paid under protest in order to obtain a permit or other approval of development activity. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.130 Appeals.
A. Any fee payer may pay the impact fee imposed by this chapter under protest in order to obtain development approval. Appeals regarding the impact fees imposed on any development activity may only be taken by the fee payer of the property where such development activity will occur. No appeals shall be permitted unless and until the impact fees at issue have been paid and no appeal may be filed after the building permit has been issued.
B. The fee payer must first file a request for review regarding impact fees with the school district as follows:
1. The request shall be in writing;
2. The request for review by the district shall be filed within 21 calendar days of the fee payer’s payment of the impact fees at issue. The failure to timely file such a request shall constitute a final bar to later seek such review; and
3. The district shall issue its determination in writing.
C. The school district shall be responsible for all costs associated with the appeal. The following procedure will be used to reimburse the city for cost of any such appeal:
1. Filing with Sumner’s city clerk and providing a courtesy copy to: (a) the school district attention, superintendent, to the Sumner-Bonney Lake school district’s main offices located at 1202 Wood Avenue, Sumner, WA 98390 for the Sumner-Bonney Lake school district or (b) to the attention of the superintendent to the Dieringer school district’s main offices located at 1320 178th Avenue East, Lake Tapps, WA 98391 within 10 working days from the date the district issued its decision regarding the impact fee imposed, a written appeal to the hearing examiner containing:
a. A heading in the words: “Before the Hearing Examiner for the City of Sumner”;
b. A caption reading: “Appeal of ________” (giving the name of the appellant);
c. A brief statement setting forth the legal interest of the appellant;
d. A brief statement in concise language of the specific order or action protested, together with any material facts claimed to support the contentions of the appellant;
e. A brief statement in concise language of the relief sought, and the reasons why it is claimed the protested decision should be reversed, modified or otherwise set aside;
f. The signature of the party named as appellant, and appellant’s official mailing address; and
g. The verification, by declaration under penalty of perjury, of the appellant as to the truth of the matters stated in the appeal.
2. Date, Time, Place for Hearing. As soon as practicable after receiving the written appeal, the hearing examiner shall fix a date, time and place for the hearing of the appeal. Such date shall be not less than 10 working days nor more than 30 days from the date the appeal was filed with the city clerk, unless the parties agree to an extension of time. Written notice of the time and place of the hearing shall be given at least 10 working days prior to the date of the hearing to each appellant by the hearing examiner’s office either by causing a copy of such notice to be delivered to the appellant personally or by mailing a copy thereof, postage prepaid, addressed to the appellant at his or her address shown on the appeal.
3. Scope of Appeal and Standard of Review.
a. Only those matters or issues specifically raised by the appellant in the written notice of appeal shall be considered in the hearing of the appeal.
b. The hearing examiner shall have the authority to determine the procedure and standard of review for the appeal hearing and shall be guided, as relevant, but not be bound by, the provisions of the Administrative Procedure Act, chapter 34.05 RCW, including RCW 34.05.449, 34.05.452, 34.05.455, and 34.05.461.
4. Waiver of Right to Appeal. Failure of any person to file an appeal in accordance with the provisions of this chapter shall constitute a waiver of his or her right to an administrative hearing and adjudication of the notice and order, or any portion thereof.
5. Action after Hearing. Upon completion of the hearing, the hearing examiner shall:
a. Affirm the school district’s decision; or
b. Reverse or modify the school district’s decision.
6. Appeal from Hearing Examiner. An appeal from a decision of the hearing examiner shall be to the Pierce County superior court and shall be served and filed within 21 calendar days of the decision of the hearing examiner. In the event the applicant or license holder does not follow the procedures within the time periods set forth in this chapter, the action of the hearing examiner shall be final.
7. Stay during Appeal. The school district’s decision regarding the school impact fee shall be stayed during administrative and judicial review. (Ord. 2718 § 4, 2019; Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2525 § 2, 2015: Ord. 2420 § 1 (part), 2012)
3.50.135 Appeal cost reimbursement.
The school district shall be responsible for all costs associated with the appeal. The following procedure will be used to reimburse the city for cost of any such appeal:
A. The city’s finance department shall record all costs associated with any appeal and after final disposition of the appeal shall prepare an invoice detailing the accumulated costs and submit the invoice to the school district for reimbursement of the costs.
B. The school district will remit to the city the amount invoiced for any appeal within 30 days after receipt of the city’s invoice. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2525 § 3, 2015)
3.50.140 Impact fee accounts and refunds.
A. Impact fee receipts shall be earmarked specifically and retained in a special interest-bearing account established by the district solely for the district’s school impact fees. All interest shall be retained in the account and expended for the purpose or purposes for which impact fees were imposed. Annually, the district, based in part on its report prepared pursuant to SMC 3.50.050, shall prepare a report on the impact fee account showing the source and amount of all moneys collected, earned or received, and capital or system improvements that were financed in whole or in part by impact fees. The district shall submit a copy of this report to the city council. The city shall maintain separate school impact fee and administration fee accounts pursuant to SMC 3.50.100, and shall prepare a report on the source and amount of all school impact fees collected and transferred to the district.
B. Impact fees for the district’s system improvements shall be expended by the district only in conformance with the capital facilities plan element of the comprehensive plan.
C. Impact fees shall be expended or encumbered by the district for a permissible use within six years of receipt by the district, unless an extraordinary or compelling reason exists for fees to be held longer than six years. Such extraordinary or compelling reasons shall be identified to the city by the district in a written report. The city council shall identify the district’s extraordinary and compelling reasons for the fees to be held longer than six years in the council’s own written findings.
D. The current owner of property on which an impact fee has been paid may receive a refund of such fees if the impact fees have not been expended or encumbered within six years of receipt of the funds by the district on school facilities intended to benefit the development activity for which the impact fees were paid. In determining whether impact fees have been encumbered, impact fees shall be considered encumbered on a first in, first out basis. The district shall notify potential claimants by first-class mail deposited with the United States Postal Service addressed to the owner of the property as shown in the county tax records.
E. An owner’s request for a refund must be submitted to the district in writing within one year of the date the right to claim the refund arises or the date that notice is given, whichever date is later. Any impact fees that are not expended or encumbered by the district in conformance with the capital facilities plan within these time limitations, and for which no application for a refund has been made within this one-year period, shall be retained and expended consistent with the provisions of this section. Refunds of impact fees shall include any interest earned on the impact fees.
F. Should the city seek to terminate any or all school impact fee requirements, all unexpended or unencumbered funds, including interest earned, shall be refunded to the current owner of the property for which a school impact fee was paid. 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 the refunds in a newspaper of general circulation at least two times and shall notify all potential claimants by first-class mail addressed to the owner of the property as shown in the county tax records. 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 district, but must be expended by the district, consistent with the provisions of this section. The notice requirement set forth above shall not apply if there are no unexpended or unencumbered balances within the account or accounts being terminated.
G. A developer may request and shall receive a refund, including interest earned on the impact fees, when:
1. The developer does not proceed to finalize the development activity as required by statute or city code including the Uniform Building Code; and
2. No impact on the district has resulted. “Impact” shall be deemed to include cases where the district has expended or encumbered the impact fees in good faith prior to the application for a refund. In the event that the district has expended or encumbered the fees in good faith, no refund shall be forthcoming. However, if within a period of three years the same or subsequent owner of the property proceeds with the same or substantially similar development activity, the owner shall be eligible for a credit. The owner must petition the district and provide receipts of impact fees paid by the owner for a development of the same or substantially similar nature on the same property or some portion thereof. The district shall determine whether to grant a credit, and such determinations may be appealed by following the procedures set forth in this section.
H. Interest due upon the refund of impact fees required by this section shall be calculated according to the average rate received by the district on invested funds throughout the period during which the fees were retained. (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)
3.50.150 Existing authority unimpaired.
Nothing in this chapter shall preclude the city from requiring the fee payer 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; provided, that the exercise of this authority is consistent with the provisions of RCW 82.02.050(1)(c). (Ord. 2661 § 1 (Exh. A) (part), 2018: Ord. 2420 § 1 (part), 2012)