Chapter 13.40
WATER AND SEWER LATECOMER AGREEMENTS
Sections:
13.40.040 Application – Contents.
13.40.060 Notice to property owners.
13.40.070 City council action.
13.40.080 Contract execution and recording.
13.40.100 Ownership of system.
13.40.110 Form approved by city attorney.
13.40.120 Restrictions on connection.
13.40.140 Recording of agreement and releases.
13.40.010 Definitions.
The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
A. “Latecomer fee” means a charge collected by the city, whether separately stated or as part of a connection fee for providing access to the municipal system, against a real property owner who connects to or uses a water or sewer facility subject to a contract created under RCW 35.91.020.
B. “Water or sewer facilities” means storm, sanitary, or combination sewers, pumping stations, and disposal plants, water mains, hydrants, reservoirs, or appurtenances. (Ord. 2558 § 1 (part), 2016)
13.40.020 Purpose.
This chapter is intended to implement and thereby make available to the public the provisions of chapter 35.91 RCW as the same now exists, or may hereafter be amended. (Ord. 2558 § 1 (part), 2016)
13.40.030 Authorization.
The public works director is authorized to accept applications for the establishment by contract of a latecomers agreement as provided by state law; provided, that such application substantially conforms to the requirements of this chapter. Such application must be made prior to the completion and acceptance of the water or sewer facilities by the public works department. (Ord. 2558 § 1 (part), 2016)
13.40.040 Application – Contents.
Applications for the establishment of a latecomers agreement shall be accompanied by the application fee as set in SMC 13.40.090 and shall include the following items:
A. Detailed construction plans and drawings of the entire utility project that is the subject of the latecomers agreement prepared and stamped by a licensed engineer;
B. A preliminary itemization of all costs of the water and/or sewer utility project including, but not limited to, design, engineering, construction, property acquisition and contract administration;
C. A map identifying the proposed boundaries of the parcels of property proposed to be subject to the latecomers agreement and a legal description of each separately owned parcel lying within such area. Such map shall identify the location of the water and/or sewer utility project in relation to the parcels of property in such area;
D. A proposed assessment reimbursement roll stating the proposed assessment for each separate parcel of property within the proposed latecomers agreement assessment reimbursement area as determined by apportioning the total project cost on the basis of the benefit of the project to each such parcel of property within said area;
E. A complete list of record owners of property within the proposed assessment reimbursement area certified as complete and accurate by the applicant and which states names and mailing addresses for each such owner;
F. Envelopes addressed to each of the record owners of each of the parcels of property within the proposed assessment reimbursement area who have not contributed their pro rata share of the costs of the water and/or sewer utility project. Proper postage for registered mail shall be affixed or provided. (Ord. 2558 § 1 (part), 2016)
13.40.050 Assessment methods.
A. The public works director shall use a method of assessment which is based on the benefit to the property owner from the project. Without limiting the discretion of the public works director, any of the methods of assessment authorized in chapter 35.44 RCW for local improvement districts may be used by the public works director.
B. Within 120 days after project acceptance by the public works department, the applicant must submit the final itemization of all project costs to the city. This information must be used by the city as the basis for determining reimbursement assessments. (Ord. 2558 § 1 (part), 2016)
13.40.060 Notice to property owners.
Prior to the execution of any latecomers agreement with the city establishing an assessment reimbursement area, the public works director or designee shall mail, via registered mail, a notice to all record property owners of the parcels of property within the assessment reimbursement area as determined by the city on the basis of information and materials supplied by the applicant, stating the preliminary boundaries of such area and assessments along with substantially the following statement:
As a property owner within an assessment reimbursement area (the preliminary proposed boundaries of which are set forth on a map enclosed with this notice), you or your heirs and assigns will be obligated to pay under certain circumstances a pro rata share of the Latecomers Agreement costs as allowed by law of a certain water and/or sewer utility project that has been preliminarily determined to benefit your property. The proposed amount of such pro rata share or assessment is also enclosed with this notice. You, or your heirs, successors, and assigns, will have to pay such share, if within 20 years of the date a contract establishing such area (a latecomers agreement) is recorded with Pierce County (or within a longer period if extended as provided by law), provided that (1) a connection to the described utility is made from your property or (2) development within your property would have required similar utility improvements in order to obtain City approval. You have a right to request a hearing before the city council within 20 days of the date of this notice. All such requests must be made in writing and filed with the city clerk. After such contract is recorded it shall be binding on all owners of record within the assessment reimbursement area who are not a party to the contract.
(Ord. 2558 § 1 (part), 2016)
13.40.070 City council action.
If an owner of property within the assessment reimbursement area that is the subject of the proposed latecomers agreement requests a hearing within the period of 20 days from the date of the mailed notice given under SMC 13.40.060, notice of such hearing shall be given to all record property owners within the assessment reimbursement area, the cost of which notice shall be borne by the applicant. At any such hearing the city council shall take testimony from affected property owners and make a final determination of the reimbursement area boundaries, the amount of assessments, and shall authorize the execution of appropriate documents. The city council’s ruling on these matters is determinative and final. If no hearing is requested, the council may consider and take final action on these matters at any public meeting 20 days after notice was mailed to the subject record property owners. (Ord. 2558 § 1 (part), 2016)
13.40.080 Contract execution and recording.
A. Within 30 days of final city council approval of a latecomers agreement, the applicant shall execute and present such agreement for the signature of the appropriate city officials.
B. The agreement must be recorded in the Pierce County auditor’s office within 30 days of the final execution of the agreement.
C. If the contract is so filed and recorded, it is binding on the owners of record of the parcels of property within the assessment reimbursement area who are not party to the agreement, and shall run with the land in regard to those parcels of property. (Ord. 2558 § 1 (part), 2016)
13.40.090 Fees.
The applicant for a latecomers agreement as provided for in this chapter shall reimburse the city for the full administrative and professional costs of reviewing and processing such application and of preparing the agreement. At the time of application a fee of $500.00 shall be deposited with the city. If actual costs are more than $500.00, the applicant will reimburse the city for the difference before the contract may be recorded. (Ord. 2558 § 1 (part), 2016)
13.40.100 Ownership of system.
A. To be eligible for reimbursement under the terms of a city council approved latecomers agreement, a system must comply with all city ordinances, rules and regulations pertaining to the design and construction of water and/or sewer systems.
B. Upon completion and acceptance by the public works department of the project, ownership of the constructed system shall be conveyed to the city. The city shall charge and receive fees for use according to the city’s established water and sewer rates. Maintenance and operation costs of the system shall be borne by the city. (Ord. 2558 § 1 (part), 2016)
13.40.110 Form approved by city attorney.
A latecomers agreement shall be approved as to form by the city attorney and shall contain the following provisions:
A. The agreement shall be in effect for a period of 20 years from the date thereof unless otherwise extended as authorized pursuant to chapter 35.91 RCW.
B. The city shall charge a sum of 15 percent of the agreed amount, collected on behalf of the owner to defray the cost of labor, bookkeeping and accounting, which charge shall be deducted from the amount collected before remitting said amount to the owner.
C. Ownership of all water and sewer mainlines installed on private property shall be conveyed to the city and the owner shall grant the city an easement therefor. All deed and easements for said mainline shall be submitted to the city prior to project approval.
D. The agreement shall provide that the developer of the facilities waives and releases the city from all claims arising from the establishment, administration and enforcement of the latecomer agreement.
E. In no event shall the city be considered a guarantor of any project or improvement by virtue of this chapter or any agreement made pursuant to this chapter.
F. A provision requiring the beneficiary to the latecomers agreement to provide updated contact information consistent with SMC 13.40.130. (Ord. 2558 § 1 (part), 2016)
13.40.120 Restrictions on connection.
A. Under the terms of the latecomers agreement, the city shall not allow any person to tap into the system without prior payment to the applicant or the applicant’s, heirs, successor(s) or assign(s), herein referred to collectively as “beneficiary,” of the latecomer charge, which includes final costs associated with: design; engineering; construction; property acquisition; and contract administration.
B. The latecomer agreement shall obligate the city to exercise its best efforts to assure compliance with this section, but the city shall not incur liability for an unauthorized tap. (Ord. 2558 § 1 (part), 2016)
13.40.130 Payment of charge.
A. Payment of the latecomer charge, as set forth in this section, shall be made to the city in accordance with the city’s rules.
B. Payment to the city shall be by one lump sum including administrative costs. The city shall pay the amounts due the beneficiary within 60 days of receipt.
C. Throughout the term of the latecomers agreement, the beneficiary must provide, every two years from the latest date of contract execution, the name(s) and address(es) of the beneficiary of the agreement. Such notification shall be in writing. The city shall not be responsible for locating any person who may be entitled to benefits under any agreement. If the beneficiary of the latecomers agreement fails to comply with the notification requirements of this subsection within 60 days of the specified time, then the contracting municipality may collect any reimbursement funds owed to the beneficiary of the latecomers agreement and must be deposited in the capital fund of the city. Failure to receive the certification every two years shall be cause for the city to refuse to make payment under the agreement and money received may become the city’s sole and exclusive property. (Ord. 2558 § 1 (part), 2016)
13.40.140 Recording of agreement and releases.
A. The public works department shall record each latecomers agreement, or a notice thereof, including the legal description of all properties, subject to the latecomer charge, with the Pierce County auditor.
B. In addition to recording the latecomers agreement, the public works department shall mail a copy of the agreement, or a summary thereof, to each owner of record of all properties subject to the latecomer charge.
C. When the latecomer charge for a particular lot or parcel has been paid, the public works department shall furnish proof of payment to the owner of the lot or parcel and within 30 days record a release including the legal description of the lot or parcel with the Pierce County auditor. (Ord. 2558 § 1 (part), 2016)