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HomeMy WebLinkAbout2380 System Development Charge for Connecting to Water and Sewer SystemORDINANCE NO. ~3 ~ AN ORDINANCE ESTABLISHING A SYSTEM DEVELOPMENT CHARGE UPON OWNER'S OF PROPERTY NEWLY CONNECTING TO THE CITY'S WATER AND SEWER SYSTEMS AND CREATING A NEW CHAPTER 13.26 OF THE PORT TOWNSEND MUNICIPAL CODE. WHEREAS, the City of Port Townsend has identified the capital costs of the City's water and sewer systems; and WHEREAS, state law at RCW 35.92.025 allows a system development charge to be fixed by Ordinance, provided that the charge is based on the actual or historical cost of the water and sewer systems; and WHEREAS, the City Council has determined that it is reasonable and appropriate to enact and impose a system development charge upon the owners of property newly connecting to or increasing their demands upon the city's water and sewer systems to equitably apportion the development costs of the systems upon all of the customers of the systems; and, WHEREAS, the City Council has determined that it is in the best interest of the public that the full system development charges be imposed on an incremental basis through a phasing in of the full charges over a period of time; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PORT TOWNSEND DOES ORDAIN AS FOLLOWS: Section 1. A new Chapter 13.26 of the Port Townsend Municipal Code is hereby established to read as follows: CHAPTER 13.26 SYSTEM DEVELOPMENT CHARGES FOR WATER AND SEWER CONNECTIONS 13.26.010 13.26.020 13.26.030 13.26.040 Purpose Equivalent Residential Unit Water System Development Charge Sewer System Development Charge ordlnans\sysdcv3 .doc 13.26.050 13.26,060 13.26.070 13.26.080 13.26.090 13.26.100 13.26.110 13.26.120 Equivalent Residential 'Unit Factors System Development Charge is in Addition to Other Charges Collection of System Development Charges System Development Charge Credit System Development Charge Adjustment Penalty for Unauthorized Hookup Phasing in of System Development Charge Severability 13.26.010 Purpose. Pursuant to the authority provided by RCW 35.92.025, the City of Port Townsend has determined that it is reasonable and in the public interest to enact and impose a system development charge (SDC) for the purpose of recovering a proportionate share of the actual and projected capital costs of water and sewer facilities from those properties within the utility service areas which, as a part of their development and use, create the need for those facilities. 13.26.020 Equivalent Residential Unit. For the purposes of this code, one "Equivalent Residential Unit," or "ERU," is defined as a water service connection to a residential unit, commercial use, or industrial use, with a five eights or three quarter inch meter. Larger connections to the City's water system will be referred to in terms of "Equivalent Residential Units" for purposes of determining an equitable proportionate amount for SDC' s. A method for calculation of the Equivalent Residential Units for hookups larger than one ERU is included in Section 13.26.050 below. 13.26.030 Water System Development Charge. The City has evaluated the capital cost of the City's existing water system and the projected cost to expand the general facilities to meet the projected needs associated with new and expanded needs of the water system customers. The general facilities include source of supply, treatment, storage, transmission and major pumping facilities. A one time SDC for each new customer shall be assessed based upon the customer's fair and equitable share of the general facilities. The SDC shall be determined by multiplying the total number of ERU'S for the service(s) to be installed by Fifteen Hundred Dollars ($1,500.00) as of January 1, 1994. 13.26.040 Sewer System Development Charge. The City has evaluated the capital cost of the City's existing sewer system and the cost to expand the general facilities to meet the projected needs associated with new and expanded needs of sewer system customers. The general facilities include the interceptor system, major pumping facilities, and the wastewater treatment and associated facilities necessary to treat and dispose of the wastewater. ordh~ans\sysdev3 .doc 2 A one time SDC for each new customer shall be assessed based on the customer's fair and equitable share of the general facilities. The SDC shall be determined by multiplying the total number of ERU's for the service(s) to be installed by Twelve Hundred and Fifty Dollars ($1250.00) as of January 1, 199~, for domestic strength wastewater. 13.26.050 Equivalent Residential Unit Factors. A. The ERU factors for determining the proportional equivalent of various sizes of water meters shall be in accordance with the following table: Water Meter Equivalent Factor Wastewater Equivalent Meter Factor Single Family 1 ERU 1 ERU Duplex 2 ERU 2 ERU 5/$"-3/4" meter 1 ERU 1.0 ERU 1" meter 2.5 ERU 1.4 ERU 1 ~A" meter 3.75 ERU 1.6 ERU l~h" meter 5.0 ERU 1.8 ERU 13~- meter 6.5 ERU 2.4 ERU 2" meter 8.0 ERU 2.9 ERU 3" meter 15.0 ERU 11.0 ERU 4" meter 25.0 ERU 14.0 ERU 6" meter 50.0 ERU 21.0 ERU 8" meter 80.0 ERU 29.0 ERU B. If the wastewater strength exceeds the SIC #1 criteria, the SDC shall be adjusted to reflect the higher cost associated with treating high strength waste. The High Strength ERU formula is: C. If the actual water meter size installed is increased to provide for fire sprinkler installation, or if the water meter size used to establish the sewer SDC overestimates the volume of wastewater discharged to the City sewer system due to on-site recycling or irrigation, the Director of Public Works shall determine the appropriate ERU based upon the typical benefits the customer receives from the general facilities of the water and sewer system. ordimans~sysdev3 .dec 3 13.26.060 System Development Charge Is In Addition To Other Charges. The system development charge for water and sewer imposed pursuant to this Ordinance shall be in addition to any permit fees or charges under Chapter 3.36 of the Port Townsend Municipal Code, any connection or tap charges for the actual cost of connecting to the City's water and/or sewer systems and to all other charges or costs imposed by Ordinance or agreement. 13.26.070 Collection of System Development Charges. Inside the City, the SDC's imposed in this Ordinance shall be payable at the time application for a building permit is made, or, if no building permit is required, payment shall be made at the time application for a sanitary sewer service and/or water service connection is made. In the outside of City water service area, SDC's shall be paid at the time a water service reservation is applied for, or, if no reservation is applied for, at the time application for a water service connection is made. Charges so collected shall be considered revenue of the water or wastewater utility respectively, and shall be used solely for capital improvements to the system to which the charge is applicable. No connection to the sewer and water system shall be made, and no building permit application shall be accepted, until all SDC's have been paid. 13.26.080 System Development Charge Credit. A. The owner or previous owner of a property that has been assessed through a Local Improvement District or through a special assessment for water or sewer general facilities shall be given a credit towards payment of the SDC calculated under this Ordinance. The credit shall be determined by prorating the current SDC as the required share against the previously paid assessment for identified general facilities. The ENR Index for each time period shall be the method of establishing the value of the amount previously paid. B. For existing customers that upgrade or expand their system ERU requirements, the customer shall receive credit for the previous ERU for which an SDC was paid. No credit for reducing an ERU demand will be granted. 13.26.090 System Development Charge Adjustment. The SDC shall be increased each year on January 1, according to the Seattle Area Engineering News Record Cost Index, unless otherwise adjusted based on an evaluation of the cost of constructing the general facilities. 13.26.100 Penalty for Unauthorized Hookup. In the event any connection to the City water or sewer system is made without paying the fees required by this Ordinance, the owners of the property to which the connection is made shall be required to pay a fine in the amount of ten percent of the applicable SDC. Utility service shall be terminated until all fees and penalties owing have been paid. ordinans\sysdev3.doc 4 13.26.110 Phasing in of System Development Charges. After the effective date of this Ordinance, SDC's shall be required to be paid. However, to allow an orderly transition to the full imposition of such fees and to attempt to avoid a rush to vest applications prior to the effective date of such charges, the amount of the SDC's shall be discounted on the first date of collection of fees under the Ordinance. The amount of the SDC's shall be Seven Hundred and Fifty Dollars ($750.00) for water and Six Hundred and Twenty Five Dollars ($625.00) for wastewater on the effective date and then each charge respectively shall be increased from the initial discounted amount by Fifteen Dollars ($15.00) for water and Fifteen Dollars ($15.00) for wastewater each Monday of each week thereafter until the full amount specified in Sections 13.26.030 and 13.26.040 is reached, and thereafter the full amount of SDC's will be assessed on each property owner seeking to newly connect or upgrade the connection to the water and sewer systems of the City. 13.26.120 SeverabilitY. If any section, sentence, clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. Section 2. and publication in the manner provided by law. PASSED by the City Council for ~Por~a~egular Council held on the t~ ~ day of ._ This Ordinance shall take effect on January 1, 1994 after passage, approval meeting of the City / ~hn M. Clise, Mayor APPROVED AS TO FORM: ATTEST: David A. Grov'e, Clerk/Treasurer Dennis McLerran, City Attorney ordinans\sysdev3.doe