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HomeMy WebLinkAboutOrd 690-2015 Water and Sewer Impact Fees - Code AmendmentCITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 AN ORDINANCE OF THE CITY OF ANNA, TEXAS, AMENDING THE ANNA CITY CODE OF ORDINANCES PART II, ARTICLE 49, SECTION 8 (WATER AND SANITARY SEWER IMPACT FEES); PROVIDING FOR A PENALTY FOR ANY VIOLATION OF THIS ORDINANCE NOT TO EXCEED $2,000; PROVIDING FOR SAVINGS, SEVERABILITY, AND REPEALING CLAUSES; PROVIDING FOR AN EFFECTIVE DATE; AND PROVIDING FOR THE PUBLICATION OF THE CAPTION HEREOF. WHEREAS, the City of Anna, Texas ("the City") has previously adopted ordinances, rules and regulations governing water, sewer and other utility billing rates, payments, and related procedures, including provisions related to impact fees; and WHEREAS, the City of Anna, Texas City Council ("the City Council") has investigated and determined that it would be advantageous and beneficial to the City and its citizens to amend Part II, Article 49 Public Works, Section 8 (Water and Sanitary Sewer Impact Fees) of The Anna City Code of Ordinances ("Anna Code") with regard to refunds and local restrictions; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS, THAT: Section 1. Recitals Incorporated. The above -referenced recitals are incorporated herein as if set forth in full for all purposes. Section 2. Amendments. In accordance with Part II, Article 1, Section 9 of the Anna Code, the following amendments are made to Section 8 Impact Fees on New Development, as follows: Section 8. Impact Fees on New Development 8.01 Purpose This section is adopted pursuant to the provisions of Chapter 395 of the TEXAS LOCAL GOVERNMENT CODE, V.A.T.S., as amended, as well as under the authority of Article 11, Section 5 of the Texas Constitution, and applies to all new development within the corporate boundaries of the city and within its extraterritorial jurisdiction. This section implements a policy of the City to impose fees on each New Development project to pay the costs of constructing Capital Improvements and Facility Expansions necessary to serve New Development. The provisions of this Section 8 shall not be construed to limit the power of the City to utilize other methods authorized under state law or pursuant to CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 1 of 15 other city powers to accomplish the purposes set forth herein, either in substitution or in conjunction with this article. Guidelines may be developed by ordinance, resolution, or otherwise to implement and administer this Section 8. Impact Fees established by this section are additional and supplemental to, and not in substitution of, any other requirements imposed by the City on the development of land or the issuance of building permits or certificates of occupancy. Impact Fees are intended to be consistent with and to further the policies of the City's comprehensive plan, Capital Improvements Plan, Zoning Ordinance, Subdivision Ordinance, and other City policies, ordinances and resolutions by which the City seeks to ensure the provision of adequate public facilities in conjunction with the development of land. (Ord. -2015, adopted - -15) 8.02 Definitions For purposes of this section, the following definitions apply: Advisory Committee (also referred to as Impact Fee Advisory Committee) means those appointed by the City Council to provide advice to the City Council regarding Impact Fees as required by the enabling legislation for this section. Assessment means the determination of the amount of the limpact Ffee that can be collected on New Development pursuant to this section. "Assessable," whether or not it is capitalized, means subject to Assessment. Calculations are based on the measure of impact on demand for City facilities, such as roadways and utilities, created by the New Development. Capital Improvementfsj means the following facilities that have a life expectancy of three or more years and are owned and operated by or on behalf of the City: (1) Water supply and distribution facilities; Wastewater collection facilities; and storm water, drainage, flood control facilities as they relate to the construction of Roadway Facilities; whether or not they are located within the Service Area; and (2) Roadway Facilities. Capital Improvements Plan means a plan that identifies Capital Improvements or Facility Expansions for which Impact Fees may be assessed, as adopted by the City from time to time. City means the City of Anna, Collin County, Texas. Gr-e& means the arneunt of the redUGtien of an ffirnpaGt fee foF fees, payments OF Gharges fOF Gr Ge��QWn of the same type Of.��i fAmIit Credit(s) means: (1) When used in the context of determining the assessable Impact Fee per service unit, an amount equal to: CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 2 of 15 (a) That portion of ad valorem tax and utility service revenues generated by new service units during the program period that is used for the payment of improvements, including the payment of debt, that are included in the Capital Improvements Plan; or (b) In the alternative, a credit equal to 50 percent of the total projected cost of implementing the capital improvements plan; or (2) When used in the context of determining the offset for Capital Improvements or Facility Expansion, the amount of the reduction of an Impact Fee designed to fairly reflect the value of any construction of, contributions to, or dedications of Capital Improvements or Facility Expansions agreed to or required by the City as a condition of development approval, pursuant to rules herein established or pursuant to City Council -approved administrative guidelines by which value shall reduce Impact Fees otherwise due from the development and which credits are hereinafter referred to as an "offset" or "offsets" to reduce the possibility of confusion. Facility Expansions means the expansion of capacity of an existing facility(including but not limited to lengthening, widening, or rerouting a roadway) that serves the same function as an otherwise necessary new Capital Improvement, in order that the existing facility may serve New Development. The term does not include the repair, maintenance, modernization, or expansion of an existing facility to better serve existing development. Final Plat Approval or Approval of a Final Plat means the point at which the applicant has complied with all the conditions of approval and the plat has been approved by the City and released by the City for -recordation with the county clerk. Impact Feed means a charge or Assessment imposed against New Development in order to generate revenue for funding or recovering the costs of Capital Improvements or Facility Expansions necessitated by and attributable to New Development. The term includes amortized charges, lump sum charges, capital recovery fees, contributions in aid of construction, and any other fee that functions as described by this definition. The term does not include: (1) Required dedications of land for public parks or payments made in lieu thereof; (2) Dedication of rights-of-way or easements, or the construction or dedication of On - Site or Off -Site water distribution, Wastewater collection or drainage facilities, or streets, sidewalks, or curbs if the dedication or construction is required by a valid ordinance and is necessitated by and attributable to the New Development; (3) Lot or acreage fees or pro -rata fees to be placed in trust funds for the purpose of reimbursing Developers for constructing or over -sizing water or sewer mains or lines; or (4) Other pro rata fees for reimbursement of water or sewer mains or lines extended by the City. Land Use Assumptions mean a description of the Service Area and projections of changes in land uses, densities, intensities, and population in the Service Area over at least a 10 -year period which has been adopted by the City CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 3 of 15 and upon which the Capital Improvements Plan is based. New Development means the subdivision of land, the construction, reconstruction, redevelopment, conversion, structural alteration, relocation, or enlargement of a structure; or any use or extension of the use of land; any of which increases the number of Service Units. Offsets) means the amount of the reduction of an Impact Fee designed to fairly reflect the value of any construction of, contributions to, or dedications of a system facility agreed to or required by the City as a condition of development approval, pursuant to rules herein established or pursuant to City Council -approved administrative guidelines, which value shall be credited against Impact fees otherwise due from the development for the same variety of Capital Improvement or System Expansion. Off -Site means located entirely on property which is not included within the bounds of the plat being considered for Impact Fee Assessment. On -Site means located at least partially on the plat which is being considered for Impact Fee Assessment. Roadway Facilities means arterial or collector streets or roads that have been designated on the City's officially adopted Thoroughfare Plan, together with all necessary appurtenances. The term includes the City's share of costs for roadways and associated improvements designated on the federal or Texas highway system, including local matching funds and costs related to utility line relocation and the establishment of Curbs, gutters, sidewalks, drainage appurtenances, and rights-of-way. The term includes but is not limited to interest in land, traffic lanes, curbs, gutters, intersection improvements, traffic control devices, turn lanes, drainage facilities associated with the roadway or street lighting. Service Area means: (1) for water supply treatment and distribution facilities, wastewater collection and treatment the entire area within the corporate limits of the City and its extraterritorial jurisdiction to be served by the Capital Improvements and facilities expansions specified in the Capital Improvements Plan; (2) for Roadway Facilities: each individual Service Area designated in the Capital Improvements Plan served by the Roadway Facilities designated in the Capital Improvements Plan. The Service Area is limited to an area within the corporate boundaries and shall not exceed six miles. (3) for drainage facilities: the Service Area is limited to an area within the corporate boundaries and its extraterritorial jurisdiction, but shall not exceed the actual served by the storm water, drainage and flood control facilities designated in the Capital Improvements Plan but shall not extend across watershed boundaries. The boundaries of any Service Area may be amended from time to time pursuant to section 8.03(e) below. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 4 of 16 Service Unit means for purposes of Impact Fee Assessment the applicable standard units of measure shown on the conversion table in the Capital Improvements Plan and Impact Ffee calculation which can be converted to equivalent single family residential PM peak hour average vehicle trip ends per acre for Roadway Facilities and 3/ inch water meter equivalents as the context indicates, which serves as the standardized unit of measure of consumption or discharge for water and wastewater facilities and based on historical data and trends during the previous 10 years. Sanitary Sewer Facility means an improvement for providing wastewater collection, including but not limited to, land or easements, lift stations, or interceptor mains. Sanitary Sewer Facility excludes lines or mains which are reimbursed from pro rata charges paid by Developers or owners of property in other subdivisions as a condition of connection to or use of such facility. The term "Sanitary Sewer" may also be referenced as "Wastewater" in this Section 8 and/or in Part IV Schedule of Fees Article 7 Section 13 as amended or recodified. Water Facility means an improvement for providing water supply, treatment and distribution services, including but not limited to, land or easements water treatment facilities, water supply facilities, or water distribution lines. Water Facility excludes water lines or mains which are constructed by Developers the costs of which are reimbursed from prorate charges paid by Developers or owners of property in other subdivisions as a condition of connection to or use of such facility. (Ord. No. 476-2009, adopted 11-10-09)(Ord. No. 671-2014, adopted 9-23-14) 8.03 Advisory Committee (a) The Capital Improvements Advisory Committee (Advisory Committee) shall consist of seven Persons selected by the City Council, including at least one representative of the real estate, development or building industry who is not an employee or official of a political subdivision or governmental entity. If any Impact Ffee is to be applied in the extraterritorial jurisdiction of the City, a representative from the area shall be appointed by the City Council. (b) The Advisory Committee serves in an advisory capacity and is established to: (1) advise and assist the adoption of Land Use Assumptions; (2) review the Capital Improvements Plan and file written comments; (3) monitor and evaluate implementation of the Capital Improvements Plan; (4) file semi-annual reports with respect to the progress of the Capital Improvements Plan and report to the City Council any perceived inequities in implementing the plan or imposing the Impact Fees; and (5) advise the City staff and Council of the need to update or revise the Land Use Assumptions, Capital Improvements Plan and Impact Ffee. (c) All professional reports concerning the development and implementation of the Capital Improvements Plan shall be made available to the Advisory Committee. (d) The Advisory Committee shall elect a chairperson to preside at its meetings and a vice chairperson to serve in their absence. e) Periodic Updates Required. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 5 of 15 {#} The Land Use Assumptions and Capital Improvements Plan shall be updated at least every five years, and updates may include but are not limited to modification of the boundaries of Service Areas. The currently effective Land Use Assumptions and Capital Improvements Plan are incorporated herein by reference and shall be automatically superseded by updated versions as each becomes effective, without further amendment of this Section 8. The City may review its Land Use Assumptions, Capital Improvements Plan, and other factors such as market conditions more frequently than as provided by this subsection to determine whether any update is appropriate and if any recalculation of Impact Fees is necessary, or whether any Impact Fee should be increased, decreased, or otherwise recalculated. (Ord. No. 476-2009, adopted 11-10-09) (Ord. No. -2015, adopted ®=-15) 8.04 Impact Fee Required; Exceptions (a) Water and sewer Impact Fees shall be assessed for New Development at the time of Approval of a Final Platksj for single family residential aFe released f^r reGerdation and are due and payable at the time a building permit is issued, or for land platted outside the corporate limits, at the time an application is filed for an individual meter connection to the water or wastewater system. Water and sewer Impact Fees for other than single family residential shall be assessed at any time and shall be due and payable prior to connection to the City's water or sanitary sewer. Irrigation meters in single family residential are additional Service Units and will be assessed and fees collected at time of connection to the City's water or sanitary sewer. Except as set forth in City of Anna Ordinance No. 671-2014, as amended, Roadway Impact Fees shall be assessed for New Development at the time Final Plats are released for recordation and due and payable at the time a building permit is issued. No building permit shall be issued unless the applicant has paid all Impact Fees assessed and due; provided, however, that said prohibition on issuance of building permits shall not apply when deemed appropriate by the City and only to the extent provided for under a written development agreement. (b) Once an assessment has been made for New Development of a tract, additional Impact Fees or increases in fees shall not be assessed unless the approved final plat expires or lapses under applicable ordinances or law or the owner proposes to change the approved development by the submission of a new development application or application to increase the number of Sservice Uunits, in which case the Impact Ffee will be reassessed for increased meter size or additional meters or Sservice Uunits at the Impact Ffee amount as assessed at th-atthe time of said application. (c) Following the lapse or expiration of a final plat covering any area of undeveloped property that has been approved or a final plat deemed approved due to the City's failure to act, a new assessment shall be performed at the time of a new final plat approval in accordance with this ordinance, as amended. {�)() Except for Roadway Facilities, Impact Fees may be assessed but not collected for property where service is not available unless: CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 6 of 15 (1) The City commits to commence construction of necessary facilities identified in the Capital Improvements Plan within two years and have service available in five years; or (2) The City agrees in writing to permit the owner of the property to construct or finance the Capital Improvement or Facility Expansion and agrees that the costs incurred or funds advanced will either: (i) be credited against the Impact Fees otherwise due from New Development; or (ii) reimburse the owner for such costs from Impact Fees paid from other New Developments that will use such Capital Improvements of Facility Expansions, in which case fees shall be reimbursed to the owner at the time collected as other New Development plats are recorded; or (iii) the owner voluntarily requests that the City reserve capacity to serve future development and enters into a valid written agreement. {d)() The owner of property for which there is a recorded plat may enter into an agreement with the City providing for the time and method of payment of Impact Fees, which agreement shall prevail over the provisions of this section. (Ord. No. 671-2014, adopted 9-23-14)(Ord. No. -2015, adopted - -15) 8.05 Calculation and Assessment of Impact Fees (a) ImpaGt Fees fer water and sanitary sewer wastewater shall be determined b multiplying the number ef SeFViGe Unit equivalents in the proposed development b the me i t per See iii n�Titeq equivalent due by referring to SGhiedui'es c . The maximum Impact Fees for the water and wastewater facilities are calculated separately by dividing the cost of the Capital Improvements or Facility Expansions necessitated and attributable to New Development in the Service Area within the ten-year planning period by the number of Service Units anticipated to be added to the City within said ten-year period as set forth in more detail in the Capital Improvements Plan, which is incorporated into this Section 8 as if set forth in full for all purposes. The amounts of water and wastewater Impact Fees to be assessed and collected as to each size and type of water meter are as set forth in Schedule A — Water/Wastewater Equivalency Table and Schedule B-Impact Fee Rates, as set forth in Anna Code, Part IV, Schedule of Fees, Article 7, Section 13, as amended or recodified. (b) Roadway Impact Fees shall be determined and assessed as set forth in City of Anna Ordinance No. 671-2014, as amended. (c) Assessment of Water and Sanitary Sewer Impact Fees. M In the event that a change in the plans for a New Development reduces the total number of Service Units and the City staff determines that there is a CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 7 of 15 corresponding reduction in that same New Development's impact on demand for services, the City will provide a proportionate credit or offset against Impact Fees assessed in that same New Development. Vacating a plat or submission of a replat shall require a new Assessment to be made using the Impact Fee amounts in effect at the time of Final Plat Approval. Approval of an amended plat pursuant to Texas Local Government Code 212.016 or the City's subdivision ordinance will not require a new Assessment so long as the use of the property remains identical and there is no increase in the desired meter size or meter type, or other measure of Service Unit, for any use within that development. (d) Except as may be provided otherwise in this section, the assessment and collection of an Impact Fee shall be additional and supplemental to, and not in substitution of, any other tax, fee, charge or assessment. (e) With the express approval of the City Council, the City may elect to pay all or any part of the Impact Fees due for a New Development taking into consideration the available Credits and Offsets. Criteria and guidelines relating to this subsection may be developed by City staff. (Ord. No. 476-2009, adopted 11-10-09) (Ord. 671-2014, adopted 9-23-14)(Ord. No. _- 2015, adopted _ 15) 8.06 Credits and Offsets (a) Any construction of, contributions to, or dedications of any facility appearing on the Capital Improvements Plan which is required by the City to be constructed by the owner as a condition of development shall be credited against the Impact Fees otherwise due from the development or may be claimed as an Offset to reduce Impact Fees which arise from future Assessment(s). Credit for Impact Fees due an owner in one category of Impact Fees may not be used to offset Impact Fees in another category. The City shall assign a reasonable value for any Capital Improvement or System Facility, in either dollars or Service Units, which may be claimed as a Credit or Offset. (b) Subject to Agreement. As an alternative to the fereg)�ngprovisions of this section, the City and owner may enter into an agreement providing that, in addition to the Credit and Offsets, owner will be reimbursed for all or a portion of the costs of such facilities from Impact Fees received from other New Developments that will use such Capital Improvements of Facility Expansions. (G) An owner shall be entitled te a Credit against any Gategery ef ImpaGt Fee provided in any written agreement between the City and the owner. (d) No Credit fOr GenStFUGtion of any faGility shall eXGeed the total amount ef ImpaGt Fees ,duo from the dey omen± for the same GategoFy of imnrniomonf� (c) Maximums. No Credit for construction of any Capital Improvement or Facility CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 8 of 15 Expansion shall exceed the total amount of Impact Fees due from the associated New Development for the same category of Improvements. No Credits or Offsets shall exceed the documented and City -approved costs to the developer of the Capital Improvement or Facility Expansion which was dedicated to and accepted by the City, or exceed the amount of a direct monetary contribution actually delivered to and accepted by the City. The costs used to calculate credits or offsets shall not exceed those assumed for the Capital Improvements included in the Capital Improvements Plan for Impact Fees for the category of facilities within the Service Area for which the Impact Fee is imposed, unless otherwise provided for by agreement and a suitable amendment to the Capital Improvements Plan is first adopted. (d) Timing. The amount of Credit or Offsets available to an owner shall be calculated at the time that the facility or contribution has been accepted by the City. No Credit or Offset may be awarded unless the corresponding Capital Improvement or Facility Expansion is reflected in the Capital Improvements Plan effective at the time of the application. Deadlines established by this section may be extended, in the sole discretion of the City, to allow additional time for an appropriate amendment to the Capital Improvements Plan. (e) Expiration. Credits and Offsets created pursuant to this section as amended shall expire within ten nears from the date the Credit or Offset was calculated pursuant to this section. (f) Application Required. The applicant seeking to claim any Credit or Offset applicable to the Impact Fees for New Development must submit a petition to the City either at the time of application for Final Plat Approval or at the time of connection(s) to the City utility system, whichever occurs first. The petition for Credit(s) or Offset(s) shall be in the form required by City administration and shall specifically identify the Capital Improvement(s) and Facility Expansion(s) claimed as the basis for the claimed Credit(s) or Offset(s), and identify the development(s) for which the applicant seeks to apply whatever Credit(s) or Offset(s) that may be awarded. The City shall provide the applicant, in writing, with a decision on the request for Credits or Offsets, including the reasons for decision within ninety (90) days. If a petition is incomplete, or if the amount of Credits or Offsets claimed in the petition cannot be determined with certainty until additional time has passed, that petition will be denied and the applicant must resubmit a new petition before any Credit or Offset will be awarded. (g) Redemption of Credits or Offsets. (1) A Credit or Offset may be redeemed at the time of issuance of the building permit or at the time of connection to the City's utility system, whichever occurs first. The City Council may determine with respect to each final plat it approves, on a case- by-case basis, whether such redemption, as relates to service units within that final plat, shall: (i) apply to the full amount of a category of Impact Fees that would otherwise be collected until the offset or credit for such category has been exhausted with Impact Fees becoming due thereafter being collected at the full amount assessed; or (ii) be accomplished by evenly reducing the amount of all Impact Fees within a category such that exhaustion of the credit or offset occurs as the result of a percentage reduction of all Impact Fees within such categorv. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 9 of 15 (2) Any Credit(s), Offset(s), or any rights to reimbursement or refund relating to Impact Fees, including those established by an agreement employing or modifying any provisions of this section, shall terminate or be payable, as the case may require, on September 30 of the final year of any right to such Credit, Offset, reimbursement, or refund. Any payment(s) to a developer required hereunder accruing in any year shall be due on or before sixty (60) days after the end of the fiscal year, September 30. (3) Notwithstanding subsections (1) and (2), above, the City, at its sole discretion, may authorize alternative credit or offset agreements upon petition by the owner in accordance with guidelines promulgated by the City Council. (Ord. No. -2015, adopted _ _ 15) 8.07 Accounting for Fees and Interest (a) All Impact Fees collected shall be deposited by the City's Finance Department in interest-bearing accounts clearly identifying the category of Capital Improvements or Facility Expansions within the corresponding Service Area for which the Impact F#ee is adopted. (b) Interest earned will be credited to the same account and is subject to the same restrictions on expenditures as the funds generating such interest. (c) Impact Fees and the interest earned thereon may be expended only for the purposes for which such fees were imposed as shown in the Capital Improvements Plan. The City Finance Department shall establish adequate financial and accounting controls to ensure that Impact Fees disbursed from each account are utilized solely for the purposes authorized by this section. Disbursement of funds shall be authorized by the City at such times as are reasonably necessary to carry out the purposes and intent of this section; provided, however, that any fee paid shall be expended within a reasonable period of time, but not to exceed ten years from the date the fee is deposited into the account. (d) The records of the accounts into which Impact Fees are deposited shall be open for public inspection and copying during ordinary business hours. The City may impose a fee for copying services in accordance with the Texas Public Information Act or other law or ordinance, as applicable. (Ord. No. 476-2009, adopted 11-10-09) (Ord. No. _-2015, adopted-- 15) 8.08 Refunds (a) On the request of an owner of property on which an Impact Fee has been paid, Impact Fees shall be refunded if existing facilities are available and service is denied, or, if service was not available when the Impact Fee was collected and the City failed to commence construction of facilities required for service within two years of payment of the fee, or if service was not available when the Impact Fee was collected and construction is not complete within a reasonable time considering the type of Capital Improvements or Facility Expansion to be constructed, at -said CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 10 of 15 reasonable time not to exceed in any event mare than five years from date of payment of the fee. (b) Any Impact Fee funds not expended within 10 years after payment shall be refunded. An Impact Fee collected pursuant to this section shall be considered expended if the total expenditures for Capital Improvements or Facilities Expansion authorized by this section exceeds the total fees collected for such improvement expansions during such period. (c) If a refund is due pursuant to this section, the City shall prorate the same by dividing the difference between the amount of expenditures and the amount of the fees collected by the total number of Service Units assumed within the Service Area for the period to determine the refund due per Service Unit. Refunds shall bear interest calculated from the date of collection to the date of refund at the statutory rate set forth in Section 302.002 TEX. FIN. CODE or its successor statutes. (d) All refunds will be made to the owner of record at the time the refund is paid. If, however, the Impact Fees were paid by another political subdivision or governmental entity, payment shall be made to the political subdivision or governmental entity. (e) If the building permit for a New Development for which an Impact Fee has been paid has expired, and a modified or new application has not been filed within six months of said expiration, the City shall, upon written application, refund the amount of the Impact Fee to the applicant. The City may establish guidelines for refunding of Impact Fees collected for which construction plans have been abandoned. (f) Any entitlement to reimbursement of Impact Fees paid in accordance with this section shall expire no later than six months following completion of all development subject to the plat with which the Credit(s) or Offset(s) are associated. If a developer or owner does not submit a request for refund of Impact Fees during that six month Period, any right or entitlement to refund is waived and the funds are deemed dedicated to the City. (Ord. No. 502-2010, adopted 7/27/2010) (Ord. No. s 2015, adopted ----15) 8.09 Rse edUse of Proceeds of Impact Fee accounts (a) Impact Fees shall be accounted for on a "first in, first out" basis, such that expenditures made using account funds shall consume the oldest deposits before more recent deposits. This method of accounting shall not affect eligibility for a refund provided for by Section 8.08(a) above. (b) The Impact Fees for each Service Area pursuant to this section may be used to finance or recover the costs of any Capital Improvements or Facility Expansions identified in the applicable Capital Improvements Plan for Impact Fees for the Service Area, including the contract construction price, survey and engineering fees, land acquisition costs (including land purchases, court awards and costs, attorney's fees, and expert witness fees), and the fees actually paid or contracted to be paid to an independent qualified engineer or financial consultant preparing or updating the Capital Improvements Plan for Impact Fees who is not an employee of the City. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 11 of 15 Impact Fees may also be used to pay the principal sum and interest and other finance costs on bonds, notes, or other obligations issued by or on behalf of the City to finance such Capital Improvements or FacilitV Expansions. (c) Impact Fees associated with roadways may be used to reimburse the reasonable costs associated with construction of drainage improvements for streets in the same Service Area and included on the Capital Improvements Plan. (d) Impact Fees collected pursuant to this section shall not be used to pay for any of the following expenses: (1) Construction, acquisition, or expansion of capital improvements or assets other than those identified in the applicable Capital Improvements Plan for the Impact Fees at issue; (2) Repair, operation, or maintenance of existing or new Capital Improvements or Facility Expansions; (3) _Upgrading, expanding, or replacing existing Capital Improvements to serve existing development in order to meet stricter safety, efficiency, environmental, or regulatory standards; (4) Upgrading, expanding, or replacing existing Capital Improvements to provide better service for existing development; provided, however, that Impact Fees may be used to pay the cost of upgrading, expanding, or replacing Capital Improvements in order to meet the need for increased capacity generated bV the corresponding New Development; (5) Administrative and operating costs of the City. (e) The City may finance Capital Improvements or Facilities Expansions designated in the Capital Improvements Plan as relating to Impact Fees through the issuance of bonds, through the formation of public improvement districts or other assessment districts, or through any other authorized mechanism, in such manner and subject to such limitations as may be provided by law, in addition to use of Impact Fees. (Ord. No. 671-2014, adopted 9-23-14)(Ord. No. _-2015, adopted_- -15) 8.10 Local Restrictions Under a duly adopted development agreement the City Council may, for the purpose of promoting economic development within the City, forgo its entitlement to collect some or all of the Impact Ffees that would otherwise become subject to collection under this Section 8. (Ord. No. 138-2004, adopted 4/27/2004) (Ord. No. 476-2009, adopted 11-10-09) (Ord. No. 502-2010, adopted 7/27/2010) 8.11 Appeals CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 12 of 15 (a) The property owner or applicant for development may appeal the following administrative decisions to the City Council: (1) The applicability of an Impact Fee to the development; (2) The amount of the Impact Fee assessed or due; (3) The availability of, the amount of, or the expiration of a Credit or Offset; (4) The application of a Credit or Offset against an Impact Fee due; (5) The amount of the Impact Fee in proportion to the benefit received by New Development; or (6) The amount of a refund believed to be due. (b) The burden of proof shall be on the appellant to demonstrate that the amount of the fee or the amount of the offset or credit was not calculated according to the applicable schedule of Impact Fees or the adopted guidelines for determining Credits and Offsets. (c) The appellant must file a notice of appeal with the City Secretary within 30 days following the decision serving as the basis for the appeal. If the notice of appeal is accompanied by a bond or other sufficient surety satisfactory to the city attorney in an amount equal to the original determination of the Impact Fee due, other matters relating to the development application may proceed while the appeal is pending. 8.12 Agreements for Capital Improvements or Facility Expansions (a) An owner of a New Development may construct or finance a Capital Improvement or Facility Expansion designated in the Capital Improvements plan for Impact Fees, if required or authorized by the City, by entering into a facilities agreement with the City prior to the issuance of any building permit for the development. The agreement shall be on a form approved by the City, and shall identify the estimated cost of the improvement or expansion, the schedule for initiation and completion of the improvement or expansion, a requirement that the improvement be designed and completed to City standards and such other terms and conditions as deemed necessar ruby the City. The facility agreement shall provide for the method to be used to determine the amount of the offset to be given against Impact Fees due for the development. (b) In the event that the cost of any improvements constructed exceeds the Impact Fee to be collected for the New Development, the terms of any potential reimbursement shall be incorporated in the agreement required by subsection (a). Such reimbursement agreements shall take into account the proximity of the New Development to existing infrastructure and may require a repayment schedule which is based upon actual connections to the improvements constructed. Reimbursement agreements shall further be based on and made subject to the availability of city funds from all sources including current and protected Impact Fee fund accounts. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 13 of 15 (c) All such agreements shall include clauses which are substantially equivalent to the following: (1) The determination of the amount of Credit, Offset, or other compensation due to a developer or owner in accordance with an agreement under this section, and all related calculations shall use the Service Unit values in effect at the time that the agreement was executed. (2) Any termination or reduction in the City's authority provided by state law to impose Impact Fees shall terminate or correspondingly reduce any obligation of the City to make payments under the agreement. (3) Any entitlement to reimbursement of Impact Fees paid in accordance with the agreement shall expire no later than six months following completion of all development subiect to the final plat with which the Credit(s) or Offset(s) are associated. If a developer or owner does not provide written notification of a request for compensation relating to the agreement during that six month period, any right or entitlement to refund is waived and the corresponding funds are dedicated to the City. (4) Execution of any reimbursement agreement pursuant to this section shall automatically terminate any party's entitlement to a Credit, Offset, refund, or other compensation corresponding to the subject development other than those expressly provided for therein. (5) Termination of any agreement entered into under this section, if it occurs prior to the full development of the subject property, shall automatically terminate any entitlement to Credit(s), Offset(s), or other compensation pursuant to that agreement. Thereafter, any and all New Development with the corresponding plat shall be subject to Impact Fees in accordance with the fee schedule in effect as of the date of termination. 8.13 Relief Procedures. (a) Any person who has paid an Impact Fee or an owner of land upon which an Impact Fee has been paid may petition the City Council to determine whether any duty required by this division has not been performed within the time prescribed for its performance. The petition shall be in writing and shall describe with specificity the nature of the unperformed duty, all pertinent facts relating to the duty, and request that the act be performed within 60 days. If the City Council determines that the duty is required pursuant to this ordinance and is late in being performed, it shall cause the duty to commence within 60 days of the date of the request and continue until completion. (b) Upon written request by a developer or owner of property subject to this section the City Council may grant a variance or waiver from any requirement of this section, following a public hearing, and only upon finding that a strict application of such requirement would, when regarded in consideration of all applicable circumstances, result in confiscation of property. CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 14 of 15 (c) If the City Council grants a variance or waiver to the amount of the Impact Fee due for a New Development under this section, it may cause to be appropriated from other City funds the amount of the reduction in the Impact Fee to account for loss of funds to the Service Area in which the correlating property is located. (d) The City Engineer, or his designee, may make interpretations of this section concerning the required equivalencies or Service Units corresponding to a tract and may, through a signed writing describing the relevant calculations, reduce the amount of an Impact Fee to be assessed against a property. (Ord. No. -2015, adopted_- -15) Section 3. Penalty. Any violation of any of the terms of this ordinance, whether denominated in this ordinance as unlawful or not, shall be deemed a misdemeanor. Any person convicted of any such violation shall be fined in an amount not to exceed $2,000 for each incidence of violation. Each violation is considered a separate offense and will be punished separately. Section 4. Savings, Severability and Repealing Clauses. All ordinances of the City in conflict with the provisions of this ordinance are repealed to the extent of that conflict. If any provision of this ordinance shall be held to be invalid or unconstitutional, the remainder of such ordinance shall continue in full force and effect the same as if such invalid or unconstitutional provision had never been a part hereof. The City declares that it would have passed this ordinance, and each section, subsection, sentence, clause, or phrase thereof irrespective of the fact that any one or more section, subsection, sentence, clause, and phrase be declared unconstitutional or invalid. Section 5. Publication of the Caption Hereof and Effective Date. This ordinance shall be in full force and effective from and after its passage and upon the posting and/or publication, if required by law, of its caption and the City Secretary is hereby directed to implement such posting and/or publication. PASSED by the City Council of the City of Anna, Texas, this 9th day of June 2015. ATTESTED: Mirenda McQuagge-Walden, Acting City Secretary ,\«100111tljl',; o APPROVED: Vike Crist, Mayor CITY OF ANNA, TEXAS ORDINANCE NO. 690-2015 Page 15 of 15