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Ordinance No. 77-26 '�'` • CITY OF TIGARD, OREGON ORDINANCE NO. 77-25 AN ORDINANCE ESTABLISHING AND IMPOSING A STREET AND TRAFFIC CONTROL SYSTEM DEVELOPMENT CHARGE FOR EXTRA CAPACITY FACILITIES. FIXING AN EFFECTIVE DATE AND DECLARING AN E-14ERGENCY. 1IHEREAS after appropriate and lengthly review of various traffic engineering reports, fiscal analyses and staff studies, comments and criticism of interested persons and the general public, the City t Council has determined that it is reasonable and necessary to enact and impose a street and traffic control system development charge for a , . the purpose of protecting the public health, safety and welfare by imposing costs of extra capacity street facilities upon properties : which create additional needs for those facilities. 1101t, THEREFORE, IN ORDER TO IMPLEMENT THE DECISION DESCRIBED ABOVE, k THE CITY OF TIGARD ORDAINS AS FOLLOVdS: k. h Section .l: PURPOSE A system development charge is hereby imposed o im—p ement the installation, construction and extension of extra capacity street facilities and traffic control devices, as defined in section 2 hereof, and shall be charged to properties which create additional needs for those facilities. Sect on_ 2: DEFINITIONS 1) Building Permit - Any permit issued by the Building ' Official in accordance with Title 14 of the Tigard Municipal Code as amended. 2) Extra Capacity Street Facilities - Those street v improvements that are necessary for public health, safety and welfare to increase vehi..culor traffic capacities to collector or arterial street standards on streets that are classed as collectors or arterials in Section 18.12.100 of the Tigard municipal Code and/ or in the Tigard Community Plan and the Neighborhood Plan supplements thereto. Said improvements include but are not limited to signalization, channelization, :1 widening, drainage work, pedestrian safety, lighting, right of way acquisition, street extensions and rail- road crossing protective devices. Section 3: SYSTEM DEV.ELOFTiENT CHARGE IMPOSED: FATE REVIEW � 1) A Systems Development Cherge is hereby imposed upon L# all lands within the City of Tigard According to the demands which proposed, development of said lands will place upon the collector and arterial street system serving the City of Tigard as follows: f'r h A. Single Family Residential "Unit having a purchase price of $40,000.00 but less than $60,000.00.... .$300. B. Single Family Residential Unit having a purchase price of over $60,000.00.. . . . . . . . .o.. . .. . .. . ... . .A~400. C. Mobile Home Court Space. . .. . . . . . . . ... . .. . . . . .. . . .u150. D. Multi-Family Residences. . . .. . . . . . ..... . . .. ..sl240/unit. E. Commercial, Industrial and Institutional. .$50/parking space as requir- ed by Section 18.60.120 of the Tigard Municipal Code. Section'4: COLLECTION 1) The System Development Charge is immediately due and payable upon receipt of' an application for building permit. The applicant for such permit shall pay and the Building Official shall collect, the applicable System Development Charge prior to issuing any build- ing permit for any new construction and/or additions, alterations or change in use Which increases the number of parking spaces required by Section 18.60.120 of the Tigard I'Amicipal Code. The Building Official shall decline to issue any such permits until that charge has been paid in full. 2) Not withstanding the above, in those cases where appli- cation for a building permit is made for a structure which would result t :Ln a systems. development charge fee in excess of $5,000, the applicant may request a temp- orary waiver of collection from the City Administrator who is hereby authorized to grant such a temporary waiver. In those instances where such a collection waiver has been granted, the full charge shall be paid prior to issuance of an Occupancy Permit by the City and the Building Official is hereby instructed to decline to issue an Occupancy permit for any structure which has received a temporary waiver until the Systems Development Charge Fee is paid in full on the entire project. Section 5: EMZPTIONS 1), The following properties shall be exempt from the charges imposed in section 3: A. City owned land B. Non-profit institutions, following a public hearing ordinance Na. 77-26 Page 2 { before the City Council in order that the Council may find it within the public interest to sub- sidize the applicant in question by waiving the required System Development Charge. C. Any parcel of land which has an established use is exempt from the Systems Development Charge to the extent of any structure then existing on the land or covered by a building permit issued on or before the effective date of this ordinance. 2) Temporary Exemption. Any parcel of land located within the city on the effective date of the ordinance, for which a valid and complete pending building permit application was filed on or before the effective date or the ordinance, shall be exempt from the Systems Development Charge to the extent of the structure covered by that pending building permit application. 3) Discretionary Exemptions A. In accordance with the city's adopted Housing Policies and Housing Assistance Plan which general- ly seeks to encourage the provision of a range of housing types and costs, the City Council hereby determines that it is in the interest of the City to assist and encourage the development of reason- ably priced single family housing and that to this end the systems development charge fee is to be modified as follows: 1. For single family dwellings having a purchase price of $36,000 to $39,999 the fee shall be , 225 per unit. 2. For single family dwellings having a purchase price less than $36,000 the fee shall be $$150. per unit. The above housing unit purchase prices will be re- viewed by the Council annually using information supplied by the Oregon State Housing Division to ascertain that they adequately address the City's established housing policy regarding the provision of adequate amounts and types of housing to meet' the needs of low and moderate income persons. B. In cases where the Planning Commission, Site Development Plan and Architectural Review Board and/ or Planning Director determine that certain public improvements are necessary to protect the public health, safety and welfare before development of a parcel of land may ensue, the cost of any of these required improvements v&iech are deemed extra capacity ordinance No. 77-26 Page 3 facilities, as defined in Section 2, shall be a credit against the total system development charge that the developer would otherwise be obligated to pay. In determining those costs which qualify as contributing to extra capacity street facilities, it is understood that each property in the City is considered respons- ible for provision of a standard local street (Tigard Municipal Code, Section 17.23.040), sidewalk, street lighting (Portland General Electric specifications), and storm drainage. An average cost per lineal foot of a standard local street will be kept on file by the Public Works Director and updated annually. This cost per lineal foot shall be used as the standard for judging when the cost of required public improvements qualify as a crodit against the system development charge. Section b: FUND CREATION; SEGREGATION AND USE OP REVENUES There is hereby created a dedicated fund entitled Hajor Street Capital Project Fund. All funds derived from the Systems Development Charge are to be placed in the Major Street Capital Project Fund and be segregated by accounting prac- tices from all other funds of the city; and that portion of the Systems Development Charge calculated and collected on account of street facilities shall be used for no purpose other than those activities necessary to the installing, construction, and extendin; extra-capacity street facilities as defined in Section 2 of this ordinance. All funds will be expended in accordance with a capital improvements program to be adopted and reviewed annually by the City Council. Section 7: APPEALS Any person who is aggrieved by any decision required or permitted to be made by the City Administrator under this ordinance may appeal that decision to the City Council by filing a F,rritten request with the City Recorder, describing with particularity the decision of the City Administrator from which the person appeals. In considering the appeal, the Council shall determine whether the City Administrator's decision is correct and may affirm, modify, extend, or over- rule that decision. Section-81, SCOPE The Systems Development Charge provided in this a ilnance is separate from and in additon to any applicable, tax, assessment, charge, or fee other wise provided by laiv. Construction. The rules of statutory construction provided : in ORS 174.010 to 174.110 are adopted and by this reference made a part of this ordinance. Section 9. Emergency Clause The earliest imposition of the provisions of this ordinance S { Ordinance No. 77-26 Page 4 is necessary to derive necessary revenues, to promote fair- ness by imposing costs upon properties which cause expenses to be incurred, and to preserve the peace, health, and safety of the public. Accordingly, an emergency is declared and this ordinance will tape effect immediately upon its passage by the Council and approval by the mayor. PASSED: By unanimous vote of all Council members present, after being read three times• by number and title only this_ day of �7T�,1„� , 1977. Recorder : Ci y o Tr L APPROVED: By the Mayor this day ofnrJ j , 1977. r16: - ci y of ig' i F Ordinance No. 77-216- Page 7=26Page 5 F MEMORANDUM TO: City Council FROM: Planning Director � SUBJECT: Additional exemption from Street Improve ant System Development Charge DATE: April 11, 1977 The letter to council from Roger Eelanich concerning public improve- ment costs which have already bean borne by his project raises an issue which is not addressed by the present, ordinance. Most projects being constructed in Tigard have conditions placed on them by either the Planning Commission or Design Review Board which require off- site public improvements such as street widening, storm sewer con- struction, etc. By adopting a systems charge for street improvements is the City going to discontinua requiring these public improvements or a condition of development? I would recommend to council that the answer to the above questions be no for two primary reasons: 1. The public improvements required or conditions of develop- went are usually minimum necessary to accomodate the pro- ject to be constructed. Therefore, these improvements would seldom qualify as extra capacity street facilities or defined in section two (2) of the ordinance. f { 2. The public improvements required last year totaled over I 2 million dollars and it would be counter productive to t adopt an S.D. charge and lose this productive source of public improvements. f g I would recommend however that facilities which can be defined as E extra capacity be allowed as an exemption from the S.D. charge. Examples are traffic lights and street improvements beyond the local standard. In order to accomplish the provision of the appropriate exemption where deemed justified, the following addition to the street improvement ordinance is proposed. (to be added to Section 5 (3) Discretionary Exemptions) E In cases where the Planning Commission, Site Development Plan and Architectural Review Board and/or Planning Director de- termine that certain public improvements arc necessa_y to pro- tech the public health, safety niL_ p.�fare before developmant of a parcel of land may ensue, any of OLhese required improve ments which r deemed xtra ca ity facilities, as defi d in Section 2r�ay� to a system development charge,..` In determining those costs. which qualify as contributing to �,�,�,y� , extra capacity street facilities, it is understood that eac property in the City is considered responsible for prevision of � a standard local street ( Tigard Municipal Code, Section 17.28.040), sidewalk, street lighting (Portland General Electric specifications), and storm drainage. An average cost per lineal foot of a standard local street willbekept on file by e z s t the Public Warks Director and updated annually. This cost per lineal foot shall be used as the standard for judging when the cost of required public improvements qualify as Can ax- c:mption from the system development charge ,*-5-4 w� 1 A second point is regarding the graduated rate for single mi y dwelling permits. Because the steps are based upon ability to pay, Y suggest that an additional step be added which recognizes the. greater imcome of persons capable of purchasing homes in the "custom home" bracket. This bracket bag.ins today at approximately — $60,000.00 and would require annually updating to keep pace with inflation. The follouing wording is therefore proposed. r Section 3 (1) A, be ammended to read as follows; A. Single Family Residential Unit having a purchase price over $40,ODO.00 but less than 4460,000.00 5300. F i B. Single Family Residential Unit having a purchase price 4 of over ~50,000.00 . . . . . . . 5400* i P t t r f. i r S t { d - : CITY OF TIGA , OREGON 4`._ re JQ 0i • ORDINAJiCE NO. 77-�^ AN ORDINANCE ESTABLISHING AND IMPOSING A STREET ANq TRAFFIC CONTROL SYSTEM DEVELOPMENT CHARGE FOR EXTRA CAPACITY FACILITIES. FIXING AN EFFECTIVE DATE AND DECLARI�3G AN Uig RGENCY. liliEREAS after appropriate and lengthly review of various traffic engineering reports, fiscal analyses and staff studies, comments and criticism of irkrested persons and the general public, the City Council has determined that it is reasonable and necessary to enact and impose a street and traffic control system development charge for the purpose of protecting the public health, safety and welfare by imposing costs of extra capacity street facilities upon properties which create additional needs for those facilites. NOW, THEREFORE, IN ORDER TO IMPLEMIENT THE DECISION DESCRIBED ABOVE, T " CITY OF TIGARD ORDAINS AS FOLLUWS: �s Section 1: PURPOSE A system development charge is herebyto implement e installation, construction and extension o extra capacity street facilites and traffic control devices, as defined in section 2 hereof, and shall be charged to properties which create additional needs for those facilites. Section 2: DEFINITIONS 1) Building Permit - Any permit issued by the Building Official in accordance with Title 14 of the Tigard Municipal Code as amended. 2) Extra Capacity Street Facilities - Those street improvements that are necessary for public health, safety and welfare to increase vehiculor traffic capacities to collector or arterial street standards on streets that are classed as collectors or arterials in Section 18.12.100 of the Tigard Municipal Code and/or in the Tigard Community Plan and the Neighborhood Plan supplements thereto. Said improvements include but are not limited to signalization, channelization, widening, drainage work, pedestrian safety, lighting right of way acquisition, street extensions and-railroad crossing protective devices. Section 3: SYSTEM DEVSLOPPENT CHARGE IMPOSED; RATE REVIEV 1} A Systems Development Charge is hereby imposed upon all lands within the City of Tigard according to the demands which proposed development of said lands will place upon the collector and arterial street system serving the City of Tigard as follows: A. Single Family Residential Unit $300 Mobile Home Court Space $150 D. e. Multi-Family Residences $240/visit Commercial, Industrial and (r x`50/parking Institutional space as requir• edby Section 18.60.120 of th+ Tigard Nunicipa: Code Section 4s COLLECTION 1) The System Development Charge is immediately due and payable upon receipt of an application for building permit. The applicant for such permit shall pay and the Building Official shall collect, the applicable System Development Charge prior to issuing any build- ing permit for any new construction and/or additions, alterations or change in use which increases the number of parking spaces reauired by Section 18.60.120 of the Tigard Municipal Code. The Building Official shall decline to issue any such permits until that charge has been paid in full. 2) Not withstanding the above, i:n those cases where appli- cation for a building permit is made for a structure which would result in a systems development charge fee in excess of $5,000, the applicant may request a temp- orary waiver of collection from the City Administrator who is hereby authorized to grant such a temporary waiver. In those instances where such a collection waiver has been granted, the full charge shall be paid Drior to issuance of an Occupancy Permit by the City and the Building Official is hereby instructed to decline to issue an Occupancy permit for any structure which has received a temporary waiver until the Systems Development Charge Fee is paid in full on the entire project. �4 Section 5: EY,42TIONS � (� 1) Ft,11- 9 Mz:A A. City owned land B. Nan-profit institutions, following a public hearing before the City Council in order that the Council may find it within the public interest to sub- sidize the applicant in question by waiving the rrequired`System Development ,Charge. C. .Any parcel of land which has an established use is exempt from the Systems Development Charge to the extent of - -structure then existing or, the land or covered by t building permit issued, iVP on or before the effective date of -`r ordinance. and } 2) Temporary Exemption. Any parcel of land located within the city on the effective date of the ordinance, for which a valid and complete pending building permit i application was filed on or before the effective date or the ordinance, shall be exempt from the Systems Ordinance No. 77--__.�. Dove 1ooMent Charge to the extent of the`structure covered by that pending building permit application,. 3) Discretionary Exemptions A�,In accordance with the city's adopted Housing Policies and Housing Assistance Plan which generally seeks to encourage the provision of a range of housing types and costs, the City Council hereby determines that it is in the interest of the City to assist and encourage the development of reasonably priced single family housing and -what to this end the systems development charge fee is to be modified as follows: For single family divellinrs having a purchase price of $36,000 to $39,999 the fee shall be $225 per unit. &Z For single family dwellings having a purchase price less than $36,000 the fee shall be $150.00 per unit. The above housing unit purchase prices will be reviewed by the Coujzcil annually using information supplied by the Orel^n State Housing Division to ascertain that t!Division adequately address the City's established housing policy regarding the provision of adequate amounts and types of ' housing to meet the needs of lo-v: and moderate income penrsonsy.. f f. ,mss Sectio_n`'6 i t� v CREATION: SEGREGATION AND USE OF REVENUES There is hereby created a dedicated fund entitled Major Street Capital Project Fund. All funds derived from the Systems Development Charge are to be placed in the Major Street Capital Project Fund a-rid be segregated by accounting prac- tices from all other funds of the city; and that portion of the Systems Development Charge calculated and collected on account of street facilities shall be.used for no purpose other than those activities necessary to the installing, cons traction, and extending extra-capacity street facili s-i es as defined in Section 2 of this ordinance. All funds will be expended in accordance with a capital improvements program to be adopted and reviewed annually by the City Council. Section 7: APPaAJS Any person who is aggrieved by any decision required or permitted to be mage by the City Administrator under this ordinance may appeal that decision to the City Council by filing a written request with the City Recorder, describing with particularity the decision of the City Administrator from which the person appeals. In considering the appeal, the Council shall determine whether the City Administrator's j decision is correct and may afiia°m, modify, extend, . or over- rule that decision. Section 8: Scoaeo 71he Systems Development Charge provided in this o' r mance is separate from and in addition to any applicable } Ordinance Nog 77- t2 , assess-nant, charge, or fee Other ise >vided by law. Construction_. The rules of statutory construction provided in QRS 174.010 to 174.110 are adopted and by this reference made a part of this ordinance. Section 9: Emergency Clau:.-e The earliest imposition of the provisions of this ordinance is necessary to derive necessary revenues, to promote fair- ness by i tposing costs upon properties which cause expenses to be incurred, and to preserve the peace, health, and safety of the -public. Accordirngly, an emergoncy is declared and this ordinance t+rlll take effect imedi ately upon its passage by the Council and approval by the mayor. PASSED: By unanimous vote of all Council -members present, after being read three times by number and title only this _ day of 4 , 1977. Recorder - City of Tigard APPROVED: By the T'ayor this �^ day of , 1977. i_ayor Tigard Ordinance No. 77- MEMORANDUM TO: City Council FROM: Planning Director SUBJECT: Additional exemption from Street Improvement System Development Charge DATE: April 11, 1977 The letter to council from Roger Belanich concerning public improve- ment costs which have already been borne by his project raises an issue which is not addressed by the present ordinance. Most projects being constructed in Tigard have conditions placed on them by either the Planning Commission or Design Review Board which require off- site public improvements such as street widening, storm sewer con- struction, etc. By adopting a systems charge for street improvements is the City going to discontinue requiring these public improvements or a condition of development? I would recommend to council that the answer to the above questions be no for two primary reasons: 1. The public improvements required or conditions of develop- ment are usually minimum necessary to accomodate the pro- ject to be constructed. Therefore, these improvements would seldom qualify as extra capacity street facilities or defined in section two (2) of the ordinance. 2. The public improvements required last year totaled over z million dollars and it would be counter productive to adopt an S.D. charge and lose this productive source- of public improvements. I would recommend however that facilities which can be defined as extra capacity be allowed as an exemption from the S.D. charge. Examples are traffic lights and street improvements beyond the local standard. In order to accomplish the provision of the appropriate exemption where deemed justified, the following addition to the street improvement ordinance is proposed. (to g added to Section 5 (3) Discretionary Exemptions) n cases where the Planning Comm'ssion, Site Development Plan J $ nd Architectural Review Board a d/or Planning Director de- C, ter ' `gat certain public amp ovements are necessary to pro- tect the pu is health. safety nd welfare before development a of a parcel oand may ensue, any. of these required improve ments which are mad extra capacity facilities, as defined in Section 2, total system development charge In determining tho costs. which qualify as contributing to Auwbye v extra capacity street facilities, it is 'understood that each property in the City is considered responsible for provision of a a standard local street ( Tigard Municipal Code, Section 17.28.040), sidewalk, street lighting (Portland General Electric ' specifications), and storm drainage. An average cost per ` lineal foot of a standard local street will be kept on file by ■ the Public Works Director and updated annually. This cost per lineal foot shall be used as the standard for judging when � the cost of required public improvements qualify as system development charge„ A second point is regarding the graduated rate for single family dwelling permits. Because the steps are based upon ability to pay, I suggest that an additional step be added which recognizes the greater imcome of persons capable of purchasing homes in the "custom home" bracket. This bracket begins today at approximately $60,000.00 and would require annually updating to keep pace with inflation. The follouing wording is therefore proposed. O f Section 3 (1) A, be ammended to read as follows, A. Single Family Residential Unit having a purchase price �a-vw&r $40,000. 00 but less than $60, 000.00 $300. 1 B. Single Family Residential Unit having a purchase price of over $60,000.00 . . . . . . . $400. r. a