CITY OF SANTA CLARA
ORDINANCE 2018-13
ADOPTING A WATER IMPACT FEE FACILITIES PLAN & IMPACT FEE ANALYSIS DATED JUNE 2018; IMPOSING WATER SYSTEM IMPACT FEES; PROVIDING FOR THE CALCULATION AND COLLECTION OF SUCH FEES; PROVIDING FOR THE APPEAL, ACCOUNTING AND SEVERABILITY OF THE SAME; AND OTHER RELATED MATERS.
WHEREAS, the City Council of the City of Santa Clara met in regular session on June 20, 2018 to consider, among other things, adopting a Water Impact Fee Facilities Plan, Impact Fee Analysis document dated June 2018 and imposing Water System Impact Fees, providing for the calculation and collection of such fees, and providing for appeal, accounting and severability of the same, and other related matters; and
WHEREAS, The City of Santa Clara is a political subdivision of the State of Utah, authorized and organized under the provisions of Utah law and is authorized pursuant to the Impact Fee Act, Utah Code Ann. § 11-36-101 et seq. to adopt impact fees; and
WHEREAS, on June 20, 2018, the City of Santa Clara reviewed the findings, conclusions, and recommendations of a water system master plan prepared by Sunrise Engineering, (the “Consultant”), a copy of which is attached hereto as exhibit “A” (the “Impact Fee Facilities Plan”); and
WHEREAS the City of Santa Clara has caused a water system impact fee analysis to be prepared by Consultant, a copy of which is attached hereto as exhibit “B” (the Impact fee Analysis”); and
WHEREAS, on June 7, 2018, the City of Santa Clara posted notice of public hearing with respect to the Impact Fee Analysis in at least three public places within the City of Santa Clara and published a notice of a Public Hearing in the Spectrum in respect to the Impact Fee on June 10, 2018, and
WHEREAS, on June 20, 2018, the City Council held a public hearing regarding the Impact Fee Analysis and Impact Fee Enactment; and
WHEREAS, after careful consideration and review of the comments at the public hearings, the City Council has determined that it is in the best interest of the health, safety and welfare of the inhabitants of the City of Santa Clara to adopt the findings and recommendations of the Studies to address the impacts of development upon the city of Santa Clara, to adopt the Capital Facilities Plan as proposed, to approve the Impact fee Analysis as proposed, to adopt culinary water impact fees, to provide for the calculation and collection of such fees, and to provide for appeal, accounting and severability of the same.
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Santa Clara as follows:
Section 1. Findings. The City Council finds and determines as follows:
- All required notices have been given and made and public hearings conducted as requested by the Impact Fee Act with respect to the Capital Facilities Plan, the Impact Fee Analysis.
- Growth and development activities in the City of Santa Clara will create additional demands on its water system. The capital facility improvement requirements which are analyzed in the Capital Facilities Plan and the Impact Fee Analysis are the direct result of additional facility needs caused by future development activities. The persons responsible for growth and development activities should pay a proportionate share of the costs of the water system needed to serve the growth and development activity.
- Impact Fees are necessary to achieve an equitable allocation to the costs borne in the past and to be borne in the future, in comparison with the benefits already received and yet to be received.
- In approving the Impact Fee Analysis and this Ordinance, the City Council has taken into consideration, and in certain situations will consider on a case-by-case basis in the future, the future capital facilities and water needs of the city of Santa Clara, the capital financial needs of the City of Santa Clara which are the result of the City of Santa Clara’s future facilities needs, the distribution of the burden of costs to different properties within the City of Santa Clara based on the use of water and water facilities of the City of Santa Clara by such properties, the financial contribution of those properties and other properties similarly situated in the City of Santa Clara at the time of computation of the required fee and prior to the enactment of this Ordinance, all revenue sources available to the City of Santa Clara, and the impact on future water facilities that will be required by growth and new development activities in the City of Santa Clara.
- The provisions of this Ordinance shall be liberally construed in order to carry out the purpose and intent of the City Council in establishing the impact fee program.
- Per the proposed Washington County Water District Pooling Agreement and upon signature by the City of Santa Clara, any developer subject to impact fees under this Ordinance shall also be subject to the current water impact fees as imposed by the Washington County Water Conservancy District. The effective date shall be as provided in the WCWCD Agreement and related Ordinance.
Section 2. Definitions.
2.1 Except as provided below, words and phrases that are defined in the Impact Fee Act shall have the same meaning in this Ordinance.
2.2 “Service Area” shall mean all of the incorporated area of the City of Santa Clara, Utah.
2.3 “Project Improvements” does not mean system improvement and includes, but is not limited to, a minimum eight-inch culinary water line.
2.4 “System Improvement” shall mean those improvements outlined in the capital facilities plan, and shall except any portion that serves only the project to which the impact fee applies or are otherwise “project improvements”.
2.4 “Utah State Impact Fee Act” shall mean Title 11, Chapter 36, Utah Code Annotated or its successor state statute if that title and chapter is renumbered, recodified, or amended.
Section 3. Adoption.
The City Council hereby approves and adopts the Impact Fee Analysis attached as exhibit “B” and the analysis reflected therein. The Water Impact Fee Facilities Plan, Impact Fee Analysis, dated June 2018, are incorporated herein by reference as though fully set forth herein. Based on the City Council’s approval and adoption of the Water Impact Fee Facilities Plan and Impact Fee Analysis, the City Council imposes a requirement that developers install project improvements as a condition to connection to the City of Santa Clara’s current or future water system and delivery of water services from the City of Santa Clara. Based on its approval and adoption of the Water Impact Fee Facilities Plan, Impact Fee Analysis, the City Council hereby imposes the impact fees specified herein and enacts this Ordinance to require payment of the impact fees specified herein as a condition to connection to the City of Santa Clara’s current or future water system and delivery of water service from the City of Santa Clara.
Section 4. Impact Fee Calculations.
4.1 Impact Fees. The impact fees imposed by this Ordinance are facilities impact fees (generally consisting of storage, distribution and treatment), payable in cash, to fund future facilities and improvements. The impact fees shall be calculated as set forth below.
4.2 Developer Credits / Developer Reimbursements. A developer, including a school district or charter school, may be allowed a credit against or proportionate reimbursement of impact fees if the developer dedicates land for a system improvement, builds and dedicates some or all of a system improvement, or dedicates a public facility that the City of Santa Clara and the developer agree will reduce the need for a system improvement. A credit against impact fees shall be granted for any dedication of land for, improvement to, or new construction of, any system improvements provided by the developer if the facilities are system improvements, or are dedicated to the public and offset the need for an identified system improvement.
4.3 Impact Fees Accounting. The City of Santa Clara shall establish a separate interest-bearing ledger account for the cash impact fees collected pursuant to this Ordinance. Interest earned on such account shall be allocated to that account. Impact fees collected prior to the effective date of this Ordinance need not meet the requirements of this section.
- Reporting. At the end of each fiscal year, the City of Santa Clara shall prepare a report on such account generally showing the source and amount of all monies collected, earned and received by the fund or account and each expenditure from the fund or account. The report shall also identify impact fee funds by the year in which they were received, the project from which the funds were collected, the capital projects for which the funds were budgeted and the projected schedule for expenditure and be provided in a format approved by the State Auditor and certified by the City of Santa Clara City Manager.
- Impact Fee Expenditures. The City of Santa Clara may expend cash impact fees covered by this Ordinance only for systems improvement that are (i) public facilities identified in the Capital Facilities Plan; and (ii) of the specific public facilities type for which the fee was collected.
- Time of Expenditure. Cash impact fees collected pursuant to this Ordinance are to be expended, dedicated or encumbered for a permissible use within six (6) years of receipt by the City of Santa Clara, unless the City Council directs otherwise. For purposes of this calculation, the first funds received shall be deemed to be the first funds expended.
- Extension of Time. The City of Santa Clara may hold previously dedicated or unencumbered fees for longer than six (6) years if it identifies in writing, before the expiration of the six year period, (i) an extraordinary and compelling reason why the fees should be held longer than six (6) years; and (ii) an absolute date by which the fees will be expended.
4.4 Refunds. The City of Santa Clara shall refund any impact fee paid by a developer, plus interest actually earned when (i) the developer does not proceed with the building activity and files a written request for a refund; (ii) the fees have not been spent or encumbered; (iii) the developer has contributed in excess of its proportional costs; and (iv) no impact has resulted.
4.5 Additional Fees and Costs. The impact fees authorized hereby are separate from and in addition to user fees and other charges lawfully imposed by the City of Santa Clara, such as engineering and inspection fees, building permit fees, review fees and other fees and costs that may not be included as itemized component parts of the impact fee.
4.6 Fees Effective at Time of Payment. Unless the City of Santa Clara is otherwise bound by a contractual requirement, the impact fee shall be determined from the impact fee schedule in effect at the time of payment in accordance with the provision of Section 5 below.
Section 5. Impact Fee Imposed.
Impact fees are hereby imposed as a condition of the issuance of a building/development permit by the City of Santa Clara for any development activity which creates additional demand and need for public facilities or makes demands on the water supply in the City of Santa Clara’s system. The fees imposed are as follows:
5.1 Impact Fee By Meter Size
Section 6. Fee Exceptions and Adjustments.
6.1 Waiver for “Public Purpose”. The City Council may, on a project by project basis, authorize exceptions or adjustments to the then impact fee rate structure for those projects the City Council determines to be of such benefit to the community as a whole to justify the exception or adjustment. Such projects may include low income housing.
6.2 Adjustments. The City Council may adjust impact fees imposed pursuant to this Ordinance as necessary in order to respond to unusual circumstances in specific areas, ensure that impact fees are imposed fairly, permit the adjustments of the amount of the impact fees based upon studies and data submitted by an applicant in order to ensure that the impact fee represents the proportionate share of the cost of providing such public facilities and water which are reasonably related to and necessary in order to provide the services in question to anticipate future growth and development activities. The City Council may also adjust impact fees to respond to a request for a prompt and individualized impact fee review for the development activity of an agency of the State of Utah, a school district, or charter school.
Section 7. Appeal Procedures.
7.1 Application. The appeal procedure applies both to challenges to the legality of impact fees, to similar and related fees of the City of Santa Clara and to the interpretation and/.or application of those fees.
7.2 Request for Information Concerning the Fee. Any person or entity required to pay an impact fee under this Ordinance may file a written request for information concerning the fee with the City of Santa Clara. The City of Santa Clara will provide the person or entity with the City of Santa Clara’s written impact fee analysis and other relevant information relating to the impact fee within fourteen (14) days after receipt of the request for information.
7.3 Appeal to the City of Santa Clara before Payment of the Impact Fee. Any affected or potentially affected person or entity who wishes to challenge an impact fee under this Ordinance prior to payment thereof may file a written request for information concerning the impact fee and proceed under the City of Santa Clara’s appeal procedure.
7.4 Appeal to the City of Santa Clara after Payment of the Impact Fee; Statute of Limitations for Failure to File. Any person or entity that has paid an impact fee under this Ordinance and wishes to challenge the fee shall file a written request for information concerning the fee after having paid the fee and proceed under the City of Santa’s appeal procedure. The deadlines for filing an appeal shall be as follows:
- Notice. Within thirty (30) days after the person making the appeal pays the impact fee he or she may challenge whether the City of Santa Clara complied with the notice requirements of the Utah State Impact Fee Act with respect to the imposition of the impact fee; and
- Procedure. Within 180 days after the person making the appeal pays the impact fee he or she may challenge whether the City of Santa Clara complied with other procedural requirements of the Utah State Impact Fee Act for imposing the impact fee; and
Impact Fee. Within one year after the person making the appeal pays the impact fee he or she may challenge the impact fee.
7.5 Appeals to the City of Santa Clara. Any developer, landowner or affected party desiring to challenge the legality of any impact fee or related fee or exaction under this Ordinance may appeal directly to the City Council of the City of Santa Clara by filing a written challenge with the City of Santa Clara before the deadlines provided in Section 7.4
- Hearing. An informal hearing will be held not sooner than five (5) days nor more than twenty-five (25) days after the written appeal to the City of Santa Clara is filed.
- Decision. After the conclusion of the informal hearing, the City Council shall affirm, reverse or take action with respect to the challenge or appeal as the City Council deems appropriate. The decision of the City Council will be issued within thirty (30) days after the date the written challenge was filed. In light of the statutorily mandated time restriction, the City of Santa Clara shall not be required to provide more than three (3) working days prior notice of the time, date and location of the informal hearing and the inconvenience of the hearing to the challenging party shall not serve as a basis of appeal of the City of Santa Clara’s final determination.
7.6 Denial Due to Passage of Time. Should the City of Santa Clara, for any reason, fail to issue a final decision on a written challenge to an impact fee, its calculation or application, within thirty (30) days after the filing of that challenge with the City of Santa Clara, the challenge shall be deemed to have been denied.
7.7 Judicial Review Nothing in this Ordinance shall be interpreted to alter the statutory deadlines before which an action to challenge an impact fee must be initiated in the District Court. After having been served with a copy of the pleadings initiating a court review, the City of Santa Clara shall submit to the court the record of the proceedings before the City of Santa Clara, including minutes, and if available, a true and correct transcript of any proceedings.
Section 8. Severability. If any section subsection, paragraph, clause or phrase of this Ordinance shall be declared invalid for any reason, such decision shall not affect the remaining provisions of this Ordinance, which shall remain in full force and effect, and for this purpose, the provisions of this Ordinance are declared to be severable.
Effective Date
This Ordinance shall become effective ninety (90) days following its passage, approval, and publication, as provided by law, being September 25, 2018.
PASSED, ADOPTED AND APPROVED this 27th day of June 2018
CITY OF SANTA CLARA
Rick Rosenberg, Mayor
ATTEST:
Chris Shelley, City Recorder