HomeMy WebLinkAboutOrdinance 2016-018 Adopting a New Section 20.90.420 to the Arlington Municipal Code Regarding a Process for Deferral of Impact Fees Pursuant to ESB 5923 ORDINANCE NO. 2016-018
AN ORDINANCE OF THE CITY OF ARLINGTON, WASHINGTON
ADOPTING A NEW SECTION 20.90.420 TO THE ARLINGTON
MUNICIPAL CODE REGARDING A PROCESS FOR DEFERRAL OF
IMPACT FEES PURSUANT TO ESB 5923
WHEREAS,the Washington state legislature adopted ESB 5923 in 2015,which
mandates that counties and cities adopt processes for the deferral of impact fees; and
WHEREAS,the City wishes to provide a process for deferral of impact fees for single
family residential construction as required by ESB 5923;
NOW, THEREFORE, the City Council of the City of Arlington do hereby ordain as
follows:
Section 1. A new section 20.90.420 is hereby added to the Arlington Municipal Code
(AMC)to read as follows:
Part V. - Impact Fee Deferral
20.90.420—Deferred collection of Impact Fees.
(a) An applicant for a building permit for a single-family detached or attached
residence may, upon payment of an application fee, request a deferral of any or all impact
fee payments under this chapter until the earliest of the following dates:
(1) Issuance of the Certificate of Occupancy for completion of the single-
family residence;
(2) At the time of closing of the first sale of any portion of the property
covered by the building permit; or
(3) Eighteen (18) months from the date of issuance of the building
permit.
The City may withhold certification of final inspection, certification of occupancy, or any
equivalent certification, and the extension of utilities until the impact fees are paid in full.
(b) The amount of impact fees that may be deferred under this section will be
determined by the fees in effect at the time the applicant applies for the deferral.
(c) Each applicant for a single-family residential construction permit, in
accordance with his or her contractor registration number, social security number, or
other unique identification number, is entitled to annually receive deferrals under this
section for only the first twenty single-family residential construction building permits.
A separate application and fee payment shall be required for each single-family residence
being constructed. For purposes of this section, the term "applicant" as defined in AMC
20.08.010 shall also include any entity which controls the applicant, is controlled by the
ORDINANCE NO. 2016-018 1
applicant, or is under common control with the applicant.
(d) Unless a written agreement between the buyer and the seller is received at
the time of closing, the payment of impact fees due at closing of the sale must be made
from the seller's proceeds. In the absence of an agreement to the contrary, the seller
bears strict liability for the payment of all impact fees.
(e) An applicant seeking a deferral under this section must grant and record a
deferred impact fee lien against the property in favor of the city in the amount of the
deferred impact fee prior to issuance of a building permit. The deferred impact fee lien,
which must include the legal description, tax account number, and address of the
property, must also be:
(1) In a form approved by the city;
(2) Signed by all owners of the property and persons or entities
holding any interest in the property, with all signatures acknowledged as required
for a deed, and recorded in Snohomish County;
(3) Binding on all successors in title after the recordation; and
(4) 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.
(f) If the impact fees are not paid in accordance with a deferral authorized by
this section, and in accordance with the term provisions in subparagraph (a) above, the
city may institute foreclosure proceedings in accordance with Chapter 61.12 RCW. If the
impact fee is a school impact fee collected under AMC 20.90.230, then the city may
institute foreclosure proceedings in accordance with Chapter 61.12 RCW upon request by
the school district for which the fee is collected, and if the city does not do so within
forty-five (45) days, the school district may institute foreclosure proceedings in
accordance with Chapter 61.12 RCW. In the event of foreclosure by either the City or
the affected school district, interest shall accrue from the date of the recording of the lien
at the statutory rate of interest.
(g) Upon receipt of final payment of all deferred impact fees for a property,
the city will execute a release of the deferred impact fee lien for the property. The
property owner at the time of the release, at the property owner's sole expense, shall be
responsible for recording the lien release.
(h) 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, certificate of occupancy, or at the time of closing of the first sale.
Section 2. A new section 20.90.430 is hereby added to the Arlington Municipal Code
(AMC)to read as follows:
20.90.430 Fees. Fees for the administration of the deferred impact fee program are
established by the city's fee resolution. The fee shall be paid at the time of application
for deferral and is non-refundable.
ORDINANCE NO. 2016-018 2
Section 3. Severability. If any provision, section, or part of this ordinance shall be
adjudged to be invalid or unconstitutional, such adjudication shall not affect the validity of the
ordinance as a whole or any section, provision or part thereof not adjudged invalid or
unconstitutional.
Section 4. Effective Date. This ordinance shall be effective five days from its adoption
and publication as required by law.
PASSED BY the City Council and APPROVED by the Mayor this 3rd day of October,
2016.
CITY OF ARLINGTON
d�k Ll - :LL11 -
Barbara Tolbert,Mayor
Attest:
isti Banfield, City Clerk
Approved as to form:
*9L;-
Ste4mi-13eyfle
City Attorney
ORDINANCE NO. 2016-018 3
CERTIFICATION OF ORDINANCE
I, Kristin Banfield, being the duly appointed and acting Clerk of the City of Arlington,
Washington, a municipal corporation, do hereby certify that the following Ordinance No. 2016-
018 was approved at the October 3, 2016 City Council meeting.
ORDINANCE NO. 2016-018
"AN ORDINANCE OF THE CITY OF ARLINGTON, WASHINGTON
ADOPTING A NEW SECTION 20.90.420 TO THE ARLINGTON
MUNICIPAL CODE REGARDING A PROCESS FOR DEFERRAL OF
IMPACT FEES PURSUANT TO ESB 5923"
A true and correct copy of the original ordinance is attached.
Dated this 41" day of October, 2016.
r
Kri in nfield
City Clerk for the City of Arlington