Ordinance No. 10-01 CITY OF TIGARD, OREGON
TIGARD CITY COUNCIL
ORDINANCE NO. 10- 01
AN ORDINANCE REPEALING ORDINANCE NO. 09-14 AND AMENDING CHAPTER 15.20 OF
THE TIGARD MUNICIPAL CODE—STREET MAINTENANCE FEE.
WHEREAS, Ordinance No, 03-10 established a Street Maintenance Fee structure and added Chapter 15.20 to
the Tigard Municipal Code;and
WIEREAS, the Street Maintenance Fee structure was developed to hind the Pavement Management Program;
and
WHEREAS, the Pavement Management Program has been updated based on dze overall condition of the
` street infrastructure and the costs needed to implement that plan have been determined; and
WHEREAS, maintenance of the street right-of-way including medians on City streets is an important part of
making Tigard an attractive place to conduct business,live, and be"A Place to Call Home";and
WHEREAS, there is a need to add right-of-way maintenance of collector and arterial streets as part of the
scope of the Pavement Management Program as defined in Chapter 15.20;and
WHEREAS, the cost of implementing the revised Pavement Management Program has increased significantly
since originally implemented;and
WIEREAS, the cost and scope of the Pavement Management Program has significantly increased;and
WIEREAS, City Council has defined an annual inflation factor is needed to ensure that die Pavement
Management Program funding keeps pace with construction and labor costs and should be incorporated in
Chapter 15.20;
WHEREAS, revisions to Chapter 15.20 are needed to reflect the desired changes and to provide a basis for
systematic review of the program and fees annually, and reflects changes in designated administrative officers;
and
WHEREAS, the determination or assignment of a use category and minimum number of parking spaces
referenced in Chapter 15.20 are strictly for the purpose of establishing a fee and are not statutory land use
decisions;and
WHEREAS, on December 8, 2009, the Tigard City Council adopted Ordinance No. 09-14, amending Chapter
15.20;and
WHEREAS, based on discussions with interested pules, modifications were made to the provisions of
Ordinance No. 09-14 and staff recommends Ordinance No. 09-14 be repealed and replaced as stated in
Sections 1-4 below.
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NOW,THEREFORE,THE CITY OF TIGARD ORDAINS AS FOLLOWS:
SECTION 1: Sections 15.20.020 through 15.20.090 of the Tigard Municipal Code are hereby repealed.
SECTION 2: The following provisions are hereby adopted in substitution for the code sections repealed
by Section 1 of this Ordinance.
Section 15.20.020 Definitions. As used in this ordinance, the following shall mean:
(1) Public Works Director. The Public Works Director or the Public Works Director's
designee.
(2) Developed property or developed use. A parcel or legal portion of real property, on
which an improvement exists or has been constructed. Improvement on developed
property includes,but is not limited to buildings,parking lots,Landscaping and outside
storage.
(3) Finance Director. The Finance& Information Services Director or designee.
(4) Residential Property. Property that is used primarily for personal domestic
accommodation, including single family, multi-family residential property and group
homes,but not including hotels and motels.
(5) Non-residential Property. Property that is not primarily used for personal domestic
accommodation. Non-residential property includes industrial, commercial,
institutional,hotel and motel,and other non-residential uses.
(6) Street Functional CIassification. Street classifications as described in the Tigard
Transportation System Plan.
a. Arterials are defined as streets having regional level connectivity. These streets
link major commercial,residential,industrial and institutional areas.
b. Collectors are defined by citywide or district wide connectivity. These streets
provide both access and circulation witlin and between residential and
commercial/industrial areas.
c. Neighborhood routes are defined as streets that provide connections widin the
neighborhood and between neighborhoods. These streets provide connectivity to
collectors or arterials.
d. Local Commercial/Industrial Streets are those streets within the City that are not
designated as arterials or collectors and whose primary fiinction is serving traffic
to and from commercial and/or industrial (i.e. non-residential)uses.
e. Local streets are any streets within die City that are not designated as arterials,
collectors, neighborhood routes or identified as Commercial/Industrial streets.
These streets have the sole fiunction of providing access to immediately adjacent
land.
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(7) Parking space requirement. The minimum off-street vehicle parking requirement as
stated in the Minimum and Maximum Off-Street Vehicle and Bicycle Parking Reguh-ements in
the Tigard Community Development Code.
(8) Pavement Management Program (PMP). An annual program of collective and
preventative maintenance on City of Tigard streets funded by the Street Maintenance
Fee (SMF). The program helps to extend the life of the pavement structure by
various means such as, pavement overlaying, slurry sealing, or complete removal and
replacement of asphalt.
(9) Occupied unit Any structure or any portion of any structure occupied for residential,
commercial, industrial, or other purposes. For example, in a multi-family residential
development, each dwelling unit shall be considered a separate occupied unit when
occupied, and each retail outlet in a shopping mall shall be considered a separate
occupied unit. An occupied unit may include more than one structure if all structures
are part of the same dwelling unit or commercial or industrial operation. For example
an industrial site with several structures that form an integrated manufacturing
process operated by a single manufacturer constitutes one occupied unit. Property
that is undeveloped or, if developed, is not in current use is not considered an
occupied unit
(10) Responsible party. The person or persons who by occupancy or contractual
arrangement are responsible to pay for utility and other services provided to an
occupied unit Unless another party has agreed in writing to pay and a copy of the
writing is filed with the City, the person(s) paying the City's water and/or sewer bill
for an occupied unit shall be deemed the responsible party as to that occupied unit
For any occupied unit not otherwise required to pay a City utility bill, "responsible
party" shall mean the person or persons legally entitled to occupancy of the occupied
unit, unless another responsible party has agreed in writing to pay and a copy of the
writing is filed with the City. Any person who has agreed in writing to pay is
considered the responsible person if a copy of the writing is filed with the City.
(11) Street maintenance. Any action to maintain City streets, including repair, renewal,
resurfacing,replacement and reconstruction. Street Maintenance does not include the
construction of new streets or street lighting. Street maintenance shall include
resurfacing of existing streets, repair or replacement of curb and gutter where they
exist, repair or replacement of the entire existing street structural section, repair or
replacement of existing street shoulders, pavement markers, striping and other street
markings, repair or replacement of existing channelization devices, adjustment of
existing utilities to match finish grades, and any other related work within the existing
streets. It includes repair or restoration of existing storm drainage systems within
existing streets, but does not include installation of new drainage systems. It includes
right-of-way maintenance on the City's arterial and collector streets, which covers
maintenance and enhancement of planting strips, medians and areas between
sidewalks and property lies on these street to prevent the uncontrolled growth of
weeds and other undesirable vegetation in these areas. It does not include repair or
replacement of existing sidewalks.
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Section 15.20.030 Administrative Officers Designated.
(1) Except as provided in subsections (2) and (3) of dhis section, the Public Works Director
shall be responsible for the administration of this chapter. The Public Works Director
shall be responsible for developing administrative procedures for the chapter,
administration of fees, and for die purposes of establishing the fee for a specific
occupied unit, die consideration and assignment of categories of use, and parking space
requirements subject to appeal in accordance xvidi dhis chapter.
(2) The Public Works Director shall be responsible for developing and maintaining street
maintenance programs for the maintenance of City streets and, subject to City Budget
Coirunittee review and City Council approval, allocation and expenditure of budget
resources for street system maintenance in accordance with this chapter.
(3) The Finance Director shall be responsible for the collection and calculation of fees and
the appeals process under this chapter.
Section 15.20.040 Street Maintenance Fees Allocated to the Street Maintenance
Fee Fund.
(1) All street maintenance fees received shall be deposited to the street maintenance fee fund
or other fund dedicated to the operation and maintenance of the City street system. The
street maintenance fee fund shall be used for street maintenance. Other revenue sources
may also be used for street maintenance. Amounts in the street maintenance fee fund
may be invested by the Finance Director in accordance widi State lay. Earnings from
such investments shall be dedicated to the street maintenance fee fund.
(2) The street maintenance fee fund shall not be used for other governmental or
proprietary purposes of the City, except to pay for an equitable share of the City's
overhead costs including accounting, management and other costs related to
management and operation of die street maintenance program. Engineering design,
pavement evaluation, construction management, and other related costs, including
project advertisements for bid, in the implementation of the street maintenance
projects shall also be considered as being used for street maintenance.
Section 15.20.050 Determination of Street Maintenance Fee.
(1) The Street Maintenance Fee shall be established based on the following-
(a)
ollowing(a) The City's 5-year maintenance and reconstruction plan for corrective and
preventative maintenance of the City's street infrastructure.
(b) The average annual cost based on the 5-year maintenance and reconstruction
plan with costs allocated as follows:
(i) Artemal maintenance costs allocated 62% to non-residential uses and 38%
to residential uses.
(ii) Local Commercial/Industrial street maintenance costs allocated 100% to
non-residential uses.
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(iii) Collector maintenance costs allocated 50% to residential uses and 50% to
non-residential uses.
(iv) Neighborhood routes and local street maintenance costs allocated 100%
to residential uses.
(c) For residential property, the fee shall be charged on a per unit basis.
(d) For non-residential property other than gasoline stations, the fee shall be based
on the minimum number of vehicle parking spaces as stated in the Mini»runn and
MaNninurnr Of Street Vehicle and Bicycle Paiking Regiumvents in the Tigard
Community Development Code for each occupied unit, provided however that
the maximum number of parking spaces for purposes of calculating the Street
Maintenance Fee shall be 250.
i. In that non-residential property with fewer than G required spaces shall
constitute a tier with a fifty percent reduction of tae total fee amount.
ii. In recognition that religious institutions have minimum parking space
requirements that are relatively large in comparison to the actual use of
those spaces, the total fee for each religious institution shall be reduced
by fifty percent.
(e) The Street Maintenance Fee for gasoline stations shall be based on die nurnber
of fueling positions.
(2) The Street Maintenance Fee rates shall be established by Council resolution.
(3) Beginning July 1, 2010, die fee for the Pavement Management Program will be
implemented in three phases. The second phase will be effective on April 1, 2011
and the third will be effective on January 1, 2012. The street surface portion of the
PMP will be phased in evenly over all three phases. The right-of-way portion of the
PMP will be phased in evenly to residential customers over die last two phases.
(4) The Street Maintenance fee will be adjusted according to an annual index that is
calculated based on a two-year rolling average of die combination of the following
indices:
(a) The Oregon Composite Construction Cost index reflecting the cost of
materials (weighted 659/6).
(b) The U.S. Bureau of Labor Statistics Employment cost Index for Private
Industry Workers, by Occupational Group and Industry, Construction Group
reflecting the cost of Labor (weighted 35%).
(c) A floor of 2% and a ceiling of 7% has been established based on a composite
of both indices listed above.
(5) The indices will be applied in the second and third period of the three part phasing
and every year thereafter.
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(6) The program shall be reviewed annually as part of the City's budget process.
(7) Following each review of the program, the Finance Director shall review the revenue
received from the new rates after a full year of collection to determine if the annual
revenues meet the annual funding level set from the updated 5-year Street
Maintenance Plan. The Finance Director shall report the findings of that review to
City Council and may make recommendations on any potential fee increases or
decreases based on that review. Any unspent funds will be placed in a reserve fund.
Section 15.20.060 Determination of Amount,Billing and Collection of Fee.
(1) For the purpose of establishing the fee, the minimum required number of parking
spaces or the number of fueling positions for each occupied unit of nonresidential
property shall be determined by the Public Works Director. For uses not explicitly
listed in the Tigard Development Code as to required parking, the Public Works
Director shall assign the use to the similar category with the most similar impact on
the transportation system,considering relevant information such as:
(a) The size of the site and the building;
(b) The number of employees;
(c) Other developed sites with similar use.
(2) The Public Works Director shall establish the amount of street maintenance fee
payable for each unit of nonresidential property and shall inform the Finance
Director of the amount The amount payable shall be re-determined if there is a
change in use or development All redeterminations based on a change in use or
development shall be prospective only. The Finance Director shall charge the per-
unit street maintenance fee to the responsible party for each occupied unit of
residential property.
(3) The street maintenance fee shall be billed to and collected from the responsible party
for each occupied unit. Billings shall be included as part of the water and sewer bill
for occupied units utilizing City water and/or sewer, and billed and collected
separately for those occupied units not utilizing City water and/or sewer. All such
bills shall be rendered regularly by the Finance Director and shall become due and
payable upon receipt.
(4) Collections from utility customers will be applied first to interest and penalties, then
proportionately among the various charges for utility services and street maintenance.
(5) An account is delinquent if the street maintenance fee is not paid by the due date
shown on the utility bill. The City may follow the procedures for collection of
delinquent accounts set forth in Section 12.03.030 and/or 12.03.040, including
termination of water and/or sanitary sewer service.
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Section 15.20.070 Waiver of Fees in Case of Vacancy.
(1) When any developed property tvitivn the City becomes vacant as described in
Subsection 3, upon written application and approval by the Finance Director, the
street maintenance fee shall thereafter not be billed and shall not be a charge against
the property until such time as the property is no longer vacant.
(2) The Finance Director is authorized to cause an investigation of any property for which
an application for determination of vacancy is submitted to verify any of the
information contained in the application. The Finance Director is further authorized
to develop and use a standard form of application,provided it shall contain a space for
verification of the information and the person signing such forin affirms under penalty
for false swearing the accuracy of the inforination provided therein.
(3) For purposes of this section, a unit of property is vacant when it has been
continuously unoccupied and unused for at least thirty (30) days. Fees shall be waived
in accordance with flus section only while the property remains vacant. Any
occupancy or use of the property terminates the waiver. The City may charge any
property with the appropriate street maintenance fee, including charges for prior
billing periods, upon determining by whatever means that the property did not qualify
for waiver of charges during the relevant time. The decision of the Finance Director
under subsection (1) and (2) shall be final.
Section 15.20.080 Administrative Provisions and Appeals.
(1) The Public Works Director shall have the initial authority and responsibility to
interpret all terms, provisions and requirements of this chapter and to determine the
appropriate charges thereunder. The responsible party for an occupied unit may
request reconsideration of the Public Works Director's detennination of the amount
of the fee by submission of a written application to d-ie Public Works Director. The
application shall be submitted in sufficient detail to enable the Public Works Director
to render a decision.
(2) Within 30 days of die submission of a complete application requesting reconsideration
of the amount of the street maintenance fee to be charged to an occupied Lunt, the
Public Works Director shall render a decision on the application. The decision shall be
written and shall include findings of fact and conclusions for the particular aspects of
the decision, based upon applicable criteria, wlnch may include a land use decision that
modifies the minimum required vehicle parking for an occupied unit. A copy of the
decision shall be mailed to die person submitting the request. The Public Works
Director shall maintain a collection of such decisions. Decisions of the Public Works
Director, which affect the amount of fee to be charged to a property, shall be
forwarded to the Finance Director. Except as provided under subsection (4) of this
section, the decision of the Public Works Director is final.
(3) For the purpose of reviewing the fee, the Public Works Director may determine that
the land use category is proper and that the fee charged is appropriate. However, if the
decision of die Public Works Director results in a change in the category of land use,
the Public Works Director shall, for the purpose of establishing the fee, assign a new
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use category, determine the appropriate fee for the category, and notify the Finance
Director so that the appropriate change may be made in the applicable fee to be
charged in the future. No back charges or refunds are required. The decision of the
Public Works Director under this subsection (3) only,may be appealed.
(4) Council may form a subcommittee consisting of two Council members, or appoint a
committee of disinterested citizens, hereinafter known as the Appeal Committee, to
address any appeals to the Public Works Director's decisions. A responsible party who
disputes the determination of the Public Works Director as to use category or number
of required parking spaces may file a written appeal with the Appeal Committee. All
appeals must be submitted within ten (10) days from the date of the Public Works
Director's decision, together with a filing fee in an amount set by Council by resolution.
The application for appeal shall specify the reasons for the appeal and shall provide
sufficient uhformation for d7e Appeal Committee to render a decision. No other
appeals shall be permitted.
(5) The Appeal Committee shall schedule a review of each appeal and shall notify the
appellant not less than ten (10) days prior thereto of the date of such review. The
Appeal Committee shall conduct a hearing to determine whether there is substantial
evidence in the record to support the interpretation given by die Public Works Director
and may continue the hearing for purposes of gathering additional information bearing
on the issue. The Appeal Committee shall render an initial oral decision and shall adopt
a final written decision together wide appropriate findings in support thereof. The
decision of the Appeal Committee shall be for die purpose of establishing the fee and
lunited to whether the appellant has been assigned to the appropriate use category, or
whether the appropriate ininunwn vehicle parking space requirement or number of
fueling positions has been correctly identified. If tie Appeal Committee should
determine that for the purpose of establishing the fee, a different use category should
be assigned, or that the ininunrun parking space requirement should be revised, it shall
so order, provided no refund of prior street maintenance fees shall be given. Only
where the Committee decision results in a change in use category and/or change in die
rninunu n parking space requirement will d-ie filing fee on the appeal be refunded. The
Appeal Coimnittee decision shall be final.
Section 15.20.090 Administrative Policies.
(1) The following policies shall apply to the operation and scope of this chapter:
(a) Street maintenance fees imposed under this chapter shall apply to all occupied
units, occupied units owned and/or occupied by local, state and federal
governments, as well as property which may be entitled to exemption from or
deferral of ad valorem property taxation.
(b) Publicly owned park land, open spaces and greenways shall not be subject to
the street maintenance fee unless public off-street patl:ing designed to
accommodate the use of such areas is provided.
(c) Areas used for commercial faiming or forestry operations shall be billed
according to the use of any structures on die site. Where a site is used
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exclusively for farming or forestry and not for residential or commercial uses,
the site shall not be subject to the street maintenance fee. Where there are
different seasonal uses of structures on farm or forest land, the use category
shall be determined by examining the use for the longest portion of the year.
Where more than one use is made of a farming or forestry site, then each use
shall be examined separately and combination of use categories shall be used to
determine t1e street maintenance fee.
(d) Areas encompassing railroad and public right-of-way shall not be subject to die
street maintenance fee.
(e) Railroad property containing structures, such as maintenance areas, non-rolling
storage areas and areas used for the transfer of rail transported goods to non-
rail transport shall be subject to street maintenance fees.
(f) For newly developed properties, the fees imposed under this chapter shall
become due and payable from and after the date when the developed property
is occupied and connected to die public water or sanitary sewer system.
(2) The Public Works Director is authorized and directed to review the operation of this
chapter and, where appropriate, recointnend changes thereto in tie form of
administrative policies for adoption of the City Council by resolution. Administrative
policies are intended to provide guidance to property owners, subject to this chapter,
as to its meaning or operation, consistent witz policies expressed herein. Policies
adopted by die Council shall be given full force and effect, and unless clearly
inconsistent with this chapter shall apply uniformly throughout the City.
(3) If an occupied unit of nonresidential property is used for more than one use with
different minimum parking requirements, die street maintenance fee shall be based
on tie required parking for die total of the various uses.
(4) The determination or assignment of a use category and mithirnum number of parking
spaces under the provisions of this chapter are strictly for the purpose of establislvng
a fee and are not statutory land use decisions.
SECTION 3: All other sections in Chapter 15.20 remain die same.
SECTION 4: This ordinance shall be effective 30 days after its passage by the Council, signature by the
Mayor, and posting by tie City Recorder.
PASSED: By 1 - 01AS vote of all Council members present after being read by number
and tide only, this 5 ':" day of�`6u ,2010.
L��;G.��rt� "cc�1 Pa,�-�-.
atlerine Wheadey,City Record
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APPROVED: By Tigard City Council this day ofGL ;201
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Ci( irksen,Mayor
Approved as to fol an: ��
-97
C4 Aorney
Date
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