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Ordinance No. 91-19 CITY OF TIGARD, OR ORDINANCE NO_ AN ORDINANCE ADOPTING THE CITY OF TIGARD PARRS SYSTEMS DEVELOPMENT CHARGE; REPEALING ORDINANCE 87-71: AND DECLARING AN EMERGENCY THE CITY OF TIGARD ORDAINS AS FOLLOWS: Section _1: The Tigard City Council hereby finds: A. ORS 223.208 and 223.297 through 223.314 grant the City the authority to impose sysTcem I I= deveiapmeni charges SDC) to equitably spread the cost of essential park land acquisition and capital improvements to new development. B. The purpose of the Parks SDC is to impose an equitable share of the public cost of park land acquisition and park development upon those developments that create the need for or increase the demands on capital improvements. The Parks SDC is separate from and in addition to any applicable tax, assessment, charge, fee in lieu of assessment, or fee otherwise provided by law or the cost of complying with requirements or conditions imposed upon a land development. The Parks SDC is to be considered in the nature of a charge for a service rendered or to be rendered, or a charge for facilities provided or to be provided. C. The Parks SDC is a charge upon the act of development by whomever seeks the development permit. It is a fee for service because it contemplates a development's receipt of essential municipal services based upon the nature of that development. The ti tni nn -nr1 extent ofdavai yrs ,.�„ vYmenz are within the control and discretion of the developer. D. The Parks SDC is not intended to be a tax on property or on a property owner as a direct consequence of ownership of property within the meaning of Sec 11b, Art. XI of the Oregon Constitution or the legislation implementing that section. E. Even if the SDC herein imposed is viewed under Sec 11b, Art XI of the Oregon Constitution as a tax against property or against a property owner as a direct consequence of ownership of that property, it is an incurred charge within the meaning of that Section and the statutes implementing it because: 1) It allows the owner to control the quantity of the park services by determining the extent of development to occur upon the property. 2) It allows the owner to determine when park services are to be initiated or increased by controlling when the development occurs. € PAGE 1 3) State law and the ordinances of this city require the owner to provide certain basic infrastructure services to the property when it is developed for human occupancy. The provision of these basic services, including park facilities, are a routine obligation of the owner of the affected property and essential to the welfare of the community. F. The Parks SDC imposed by this ordinance is based upon the cost of providing existing or planned for capital improvements and does not impose a charge on persons not receiving a service and otherwise imposing a burde% upon the City's existing capital iin-provements. G. Given the mobility of the population and the geographic size of the City, most park improvement projects and land acquisitions benefit new development regardless of where in the City it occurs. Development is occurring throughout the City and no single area of the City is experiencing or has experienced such a high level of new development as to require SDC revenue from development in one area to be dedicated to that same area. It is more cost efficient to use SDC revenue from new development in the entire community to finance the growth related portions of park capital improvements and land acquisition based upon city-wide priorities rather than to hold the SDC revenue generated in one area of the community for improvements in just that area. H Among the basic services which the City provides are park facilities. These are facilities which are necessary to maintain an adequate level of recreational space and facilities as specified in the Natsral Features and Open Space 'Element of the Tigard Comprehensive Plan. These facilities may include but are not limited to mini-neighborhood parks, neighborhood parks` community centers, and other recreational facilities which include but are not limited to athletic fields, playgrounds, restrooms and picnic facilities, hard court areas, and pedestrian and bicycle pathways. I. Whenever the City Council has authorized an intergovernmental agreement which permits the City to impose a Parks SDC outside the city limits, the Community Development Director may establish the methodology, and after its adoption by Council resolution, impose the charge and collect and expend the revenue as if it was for City park capital improvements. Section 2: As contained in this ordinance, the following definitions shall apply: Development: Development means constructing a building or making a physical change in the use or appearance of a structure or land which increase the usage of any capital improvements or which creates the need for additional park capital improvements. PAGE 2 t r Public Improvement Charge: A fee for costs associated with capital improvements to be constructed after the date the fee is adopted. This term shall have the same meaning as the term "improvement feel, as used in ORS 223.297 through 223.314. Qualified Public Improvements: A capital improvement that is: a) Required as a condition of development approval; b) Identified in a capital improvement plan, park plan or any other facility plan intended to guide the development of public infrastructure. c) Not located on or contiguous to a parcel of land that is subject of the development approval. Reimbursement fee: A fee for costs associatci with capital improvements constructed or under construction on the date the fee is adopted. Systems development charge: A reimbursement fee, a public improvement charge or a combination thereof assessed or collected upon issuance of: 1) A building permit; 2) A development permit for development not requiring the issuance of a building permit; 3) A permit to connect to the water, sanitary sewer, or storm sewer systems. Section 3: Cost of Complying with the Conditions of Land Use Approval are Separate: The cost of complying with the requirements or conditions imposed by a land use decision are separate from and in addition to the Parks System Development Charge, unless the improvement required qualifies for a credit under this ordinance. Section 4: SDC Compliance with Sime Law: The revenues received from the Parks Systems Development Charge shall be budgeted and expended;as provided for by state law. The accounting of such revenues and expenditures required by state law shall be included in the City's Comprehensive Annual Financial Report required by ORS Chapter 294. The capital improvement plan required by state law as the basis for expending systems development charge revenue for park capital improvements shall be based upon the attached Exhibit "A which also identifies the methodology which is used to establish the SDC. PAGE 3 f" t o !1 Section 5: Exemptions From the Parks SDC: The following are exempt from the Parks SDC: 1) Any development which does not increase the need for or usage of the City's parks facilities. This shall include any modification to a dwelling that does not increase the number of dwelling units within the structure or does not change the use of the structure. 2) whenever the impact of individual developments presents special or unique situations such that the calculated fee is not proportionate to the actual impact of the development, the feepayer may opt to submit an alternative fee calculation study addressing whether the development provides public or private facilities which provide additional public parks capacity or which l.eseen demand on public facilities. The study shall be prepared by qualified professionals and the methodology shall be consistent with the best professional process. The study and supporting documentation shall be submitted to the City Administrator who shall consider the study and determine whether to adjust the fee. The adjustment may be up to 25% of the calculated charge for the project. The decision of the City Manager may be appealed to the City Council by submitting a written appeal within 60 days of the decision. Section 6: Collection of System Development Charge: The Parks System Development Charge is payable upon the issuance of: a) A building permit; or b) A development permit for development not reyairing a building permit. If development is commenced without an appropriate permit, the Parks SDC shall be payable upon the earliest date that a permit was required. The Community Development Director or his/her designee shall collect the system development charge from the permittee. The Director shall not issue any permit until the charge has been paid in full. Section 7: SDC Credits: A credit shall be given for the cost of a qualified park improvement associated with a development. The credit provided for by this section shall be only for the parks system development charge. The credit is transferable and can be used against parks charges for other developments within the City but must be used within five years of issuance. { PAGE 4 r Section 8: Parks SDC Appeal Procedures: 1) A person aggrieved by a decision required or permitted to be made by the Community Development Director or his/her designee or a person challenging the propriety of an expenditure of system development charge revenues may appeal the decision or the expenditure " y filing with the Community Development Director's office a written request for consideration by the hearings officer and by paying a $235 appeal fee. Such appeal shall describe with particularity the decision or the parks system expenditure which is being appealed. 2) An appeal of an expenditure must be filed within two years of the date of the alleged improper expenditure. The methodology shall not be at issue when taking an appeal of an expenditure. 3) An appeal challenging the methodology may only be filed within sixty (60) working days following passage of the resolution adopting a methodology. 4) The appeal shall state: a) The name and address of the appellant; b) The nature of the determination being appealed; c) The reason the determination is incorrect; and d) What the correct determination of the appeal should be or how the correct determination should be derived An appellant who fails to file such a statement within the time permitted waives his/her objections, and his/her appeal shall be dismissed. 5) Unless the appellant and the City agree to a longer period, an appeal shall be heard by a Hearings Officer within 15 working days of the receipt of the notice of intent to appeal. At least 10 working days prior to the hearing, the City shall mail notice of the time and location thereof to the appellant. 6) The Hearings Officer shall hear and determine the appeal on the basis of the appellant's written statement and any additional evidence he/she deems appropriate. At the hearing, the appellant may present testimony and oral argument personally or by counsel. The rules of evidence as used by courts of law do not apply. 7) The appellant shall carry the burden of proving that the determination being appealed is incorrect and what the correct determination should be or how a correct determination should be derived, 8) The Hearings Officer shall issue a written decision within 10 working days after the hearing dame and decision of the hearings officer shall be final. PAGE 5 9) When the appeal challenges the system development charge methodology, the Hearings Officer shall prepare a written report and recommendation an submit it to the Community Development Director for presentation to the Council at its next regular meeting, By Council resolution, the report and recommendations of the hearings officer shall be approved, modified or rejected and different methodology adopted. The implementation of any change in methodology shall be suspended until the Council has acted. Any legal action contesting the Council's decision on the appeal shall be filed within 60 days of the Council's decision. Section 9: Parks SDC Methodology: The methodology used to establish a Parks SDC shall consider the coal: cf then-existing facilities, prior contributions by then- existing users, and other relevant factors identified by the Community Development Director. The methodology shall promote the objective that future system users shall contribute an equitable share of the cost of then-existing facilities. The methodology used to establish the public improvement charge shall consider the cost of projected capital improvements needed to increase the capacity of the park system to which the fee is related. Hereinafter, the methodology and the associated systems development charge(s) may be changed by the City Council by resolution. } The Community Development Director shall review the methodology established by this ordinance after it has been implemented for four months and shall report the result to the Tigard Parks and Recreation Hoard and the City Council or such other public body of the City concerned with the impact of City imposed charges and the cost of capital improvements financed in whole or in part by the systems development charge. Following that review, the Community Development Director, upon findings that conditions are such that warrant changes to the methodology, shall_propose such revisions for consideration by the City Council. Section 10: Systems Development Charges Established: A Parks System Development Charge is hereby imposed upon all new residential development within the City as follows: a) Single Family Dwelling. . . . . . .$500.00 b) Manufactured Homes on IndividualLots . . .$500.00 C) Multi-Family Units . � . . . . . .$300.00 d) Spaces Within'a Manufactured Home Park. . $250.00 The methodology used to establish the above system development- charges, which is attached as Exhibit "A", is also hereby adopted. PAGE 6 1 Section 11: Repeal of Ordinance 87-71: l Ordinance 87-71, attached as Exhibit "B" is hereby repealed. Section 11: Declaration of an Emergency: Because of the need to have new development bear its equitable share of the cost for public facilities, the matters herein contained concern the public welfare, and in order to allow its order implementation, an emergency is declared and this ordinance shall become effective upon its signing. PASSED: By U YlA a(n )C)Ik 5 vote of all Council members present after bei g read by number and title only, this �'�` day of f 1991. C ne Wheatley, Citt Recorde APPROVED: This _7�no. t , 1991. .�� ld R. Edwards, Mayor Ap r ed as to fo ; J" C orn Dat PAGE 7 rd/sdcfindl.prk a t r f EXHIBIT "A" -- PARRS SDC METHODOLOGY CITY OF TIGARD: YEAR 2000 PARKS CAPITAL IMPROVEMENTS LIST Based on 1991 Land and Facilities Standards and Costs and Assuming a Population Growth of 10,700 persons Component Existing Amount or Cost Cost Standard Facility Units P/Person Required Parks - Land Acqusi.- tion and Development: - Community, 4.03/Acre/ 43.12 Ac. $40,000/Ac. $161,20 - Neighborhood, 1,000 pop. - Mini-Parks Basic Park Improvements:) .50 sq. ft. 87.77 Facility Requirements to Maintain_ 1991 Stand ards:2 Softball/Baseball .069/1,000/pop 1 $57,0003 ea. 5.32 ball Diamonds Multi-Use Hard .069/1,00/pop. 1 7,7Q0 ea. .71 Courts Soccer Fields . 10/1,000/pop. 1 64,800' ea. 6.05 Playground .34/1,000/pop. 4 20,000 ea. 7.48 Equipment Sets Horseshoe Court .068/1,000/pop. 1 500 ea. .05 Picnic Shelters .068/1,000/pop. 1 10,000 ea. .93 Restrooms .34 fixtures/ 4 10,000 fix. 3.74 1,000/pop. Total Possible Park System Development Charge Per Person. . . . . . . .$273.25 'Basic Park Improvements include grading, basic irrigation, primary pedestrian paths, lawn development and landscaping. $.50 sq. ft. is the estimated current standard of improvement. 'The facility amounts have been rounded to the nearest whole number. 'The actual cost of constructing a softball diamond is approximately $1.20 per square foot. In this case the basic park improvement cost of $.50 sq. ft. has been taken into account. ' A regulation soccer field costs about $1.20 sq. ft to construct. The cost per facility has taken into account the $.50 sq. ft. basic park improvement cost. EXHIBIT "A" Continued: System Development Charge By Type of Unit 1) Single Family Unit (2.626 Persons Per Unit' * $273.25 = $717.56 2) Manufactured Homes on Individual Lots (2.626 Persons Per Unit $273.35) = $717.56 3) Multi-Family Units (1.858 Persons Per Unit * $273.25) = $507.70 4) Manufactured Home Spaces in Manufactured Home Parks (1,858 Persons Per Unit * $273.25) _ $507.70 rb/sdcnewrb 'Average household size as per 1987 Portland Metropolitan Statistical Area estimates and information from the Portland State L. University Center for Census and Population Research. CTIY Of ITGARD, URL:GOIU ORDINANCE- NO. 87-_" AN ORD iNANC L Of 111(" I IGARD C:lA Y COUNCI I... AMENDING SECTION 3. 1.6.030 Or' THE I TGARD MUNICIPAL CODE RELATING TO SYSI-EM DI VGI_OPMI NI- CIIARGI=S - PARKS AND RE CREA"I ION E A( I 11.1.1E IS, AND SL f IN(, AN E.f F EC:I IVE^ DA II:. WIII RI.A:�t, N `;Yti;I oin dovolopmonL char,-le k imposod on new r-oriklontiAl development to iacgiiire, d;,velcip, and oxparid alldll;.ional pmrk rand i-ocreaLion fracali.tle;i: and WIIrm-A!;, the chrirgos cur•reril:ly in oFFoct have not. hr_en adiust.od since 1984 even thouc7h casts associated with acgi.lisit.ion, dove.lopmenL, and expansion of park and recreation I'acili.ties have incvoasod: and WHI Ri A;:, the C i Ly Council has adopted a park plan as approved by the Par•!, Board Lhat seLs For•t-h the costs related to park facility expansion: and W1 It"REAS, a smwvoy of neighboring communities indicates thaL the City of 5•rr�ti'1 Tigard' ; curr-orit systems development: charge For- parks is well under the J avera+.le of oi.hvr- City',.-, .in the ar•oa; and W111-_1?[W;, Lhe Tigard City Council desires Lo remove tl•e formula for determining charges from Lhe Ii"gird Municipal. Code and Lo set; Lhe charges by resolution from Lhis Lime for•Lh. "VIII C1 TY OF 17 CARD ORDAIN« AS FOLLOWS: Section t: 'Section 3`16,030 Formala fordel erminiric�_char,ge' is amended by doleti.rig the exist:irig language and adopting the following r_oplacomprit .language: "3.16.030 Determination (,f charges . 'the Tigard City Council shall set the systems development charge by r-esolution." Sect ion 7: lhis cwdiniance shall be effective on and after- January 1, 1988. PAS!"rl): fty (kJICar,irr,o".-Svole of all Counci.I members present after being read by number and title only, this '27--L day 1987. A-,,r zeC")R. Wilson, City Recorder APPROVED: This day of -�e��i .� or1987. Thomas M. Brian, Mayor Approv ad as to form: iLy Atom, y la-7Z I Date f. Cs/19000 ORD CNANCF_ NO, 97--?_L_ T