023-06 - Ordinance - New Sections to Chapter 13.04 Water and SewerNOTICE OF CITY OF PORT ORCHARD
ORDINANCE
The following is a summary of an Ordinance approved by the Port Orchard City Council at their regular
Council meeting held November 13, 2006.
ORDINANCE NO. 023-06
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON, REGARDING
THE PROVISION OF UTILITIES AND CHARGES FOR THE SAME AND ADDING
NEW SECTIONS TO CHAPTE 13.04 OF THE PORT ORCHARD MUNICIPAL CODE
Copies of Ordinance No. 023-06 are available for review at the office of the City Clerk of the City of Port
Orchard. Upon written request a statement of the full text of the Ordinance will be mailed to any
interested person without charge. Thirty days after publication, copies of Ordinance No. 023-06 will be
provided at a nominal charge.
f Port Orchard IC'd MCC"
Michelle Merlino
Interim City Clerk
Publish: Port Orchard Independent
November 25, 2006
Kitsapleaals0soundoublishino.com
ORDINANCE NO. 023-06
AN ORDINANCE OF THE CITY OF PORT ORCHARD,
WASHINGTON REGARDING THE PROVISION OF UTILITIES
AND CHARGES FOR THE SAME AND ADDING NEW
SECTIONS TO CHAPTER 13.04 OF THE PORT ORCHARD
MUNICIPAL CODE.
WHEREAS, water connection fees and sewer general facility charges set forth in
Port Orchard Municipal Code sections 13.04.030 and .040 are intended to mitigate the impact of
new construction, changes in use, and building modifications which increase the total number of
Equivalent Residential Units (ERU); and
WHEREAS, the Utilities Committee met on May 10, 2006, and May 24, 2006, to
consider a policy to add certain exceptions to payment of water connection fees and sewer
capital facility fees and recommended to the City Council that a policy be adopted to provide for
exceptions to these fees; and
WHEREAS, the City Council at their regularly scheduled meeting on August 14,
2006 considered and voted to adopt a municipal code interpretation regarding the application of
water connection fees and sewer general facility charges, attached hereto as Exhibit "A", and
WHEREAS, the City Council has determined that the code interpretation
adopted August 14, 2006 should be adopted by ordinance, and codified as the policy
establishes exceptions to the payment of water connection fees and sewer capital facilities fees;
and
WHEREAS, the City Council has previously declared its policy to allow extension
of city utilities within the urban growth area through adoption of the 1995 Comprehensive Plan
and the 2000 Sewer Plan; and
WHEREAS, RCW 36.70A.110 provides that cities are providers of urban services
and that urban growth should be located first in areas already characterized by urban growth that
have adequate existing public facilities and service capacities to serve such development, second in
areas already characterized by urban growth that will be served adequately by a combination of
both existing facilities and services and any additional needed public facilities and services that are
provided by either public or private sources; and third in the remaining portions of the urban
growth areas; and
ORDINANCE NO. 023-06
Page 2 of 9
WHEREAS, the City Council adopted the 1995 Comprehensive Water
System Plan which anticipates extension of water utilities within the urban growth area; and
WHEREAS, the City's 2005 Comprehensive Water System Draft Plan is
consistent with the 2005 Kitsap County Coordinated Water System Plan, Regional Supplement;
and
WHEREAS, the extension of city utilities beyond the corporate limits of
the city presents an expense to the City for inspection, maintenance and repair that will not be
offset by property taxes from those benefiting from said extension; and
WHEREAS, the purpose of an urban growth boundary is to establish
areas of likely growth over a 20-year forecast with an expectation that annexation of properties
within the urban growth boundary will occur concurrent with or reasonably soon after the
extension of those utilities; and
WHEREAS, the City desires to annex property within the urban growth
area as soon as possible after the extension of utilities, or as soon as is feasible, in order to
obtain the additional property tax monies from those that benefit from the extension of those
utilities; and
WHEREAS, RCW 35.23.440(32) provides authority for the City of Port
Orchard to contract;
WHEREAS, and RCW 35.23.440(41) provides authority for the City of Port Orchard
to provide for acquisition of water works and to purvey the same to its citizens and customers; and
WHEREAS, RCW 35.23.440(35) provides authority for the City of Port Orchard to
provide for, maintain, and regulate a system of sewerage; and
WHEREAS, the City has authority to permit connections with its sewer system
from property owners outside the city's limits, upon such terms, conditions and payments as
may be prescribed by ordinance, which may be required by the city or town to be evidenced by
a written agreement between the parties pursuant to RCW 35.67.310; and
WHEREAS, in order to facilitate both the extension of utilities to property
owners within the UGA and to achieve the goal of annexation of those same properties within a
reasonable time frame following the extension of utilities, the City Council will require the
execution of an "Utilities Extension Agreement" (hereinafter "UEA'� from property owners who
request extension of city utilities; and
ORDINANCE NO. 023-06
Page 3 of 9
WHEREAS, the City will utilize the UEA for purposes of consent by the owner to
annexation of the parcel(s) receiving the benefit of the extension of utilities in the future, when
the Council considers annexation of that property, and the UEA will serve as a signature from
the owner of the affected parcel as his/her consent to annexation; now therefore,
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO
ORDAIN AS FOLLOWS:
SECTION 1 Section 13.04.030 of the Port Orchard Municipal Code is amended
as follows:
13.04.30 Water fees; Extension of Water
(1) Connection Fees
Connection fees are designed to mitigate the impact of new water demands on
the existing water system. Connection fees apply to new construction, changes in
use, and building modifications which increase the total number of ERUs. The
connection fee shall be the larger of the two calculation methods:
(a) Fixture Count Method
For a single-family residence and apartments, the connection fee is $1665.18
per dwelling unit.
For commercial units, offices, motels, convalescent centers and other
nonresidential uses, the connection fee is $1,665.18 per 10 fixtures or
portion thereof.
For all other structures that are served by municipal water, the connection
fee is $1,665.18 per 10 fixtures or portion thereof. A "fixture" is any fixture
as defined in the Uniform Plumbing Code except water heaters, floor drains
used for emergency overflows only, drinking fountains if non -continuous
flows and extra fixtures attached to existing or regular fixtures such as bed
pan washers, showers over tubs and hose attachments on sinks.
(b) Water Consumption Method
For a single-family residence and apartments, the connection fee is
$1,665.18 per dwelling unit.
For nonresidential accounts, connection fee is $1,665.18 per ERU. The ERU
is defined as 180 gallons per day of metered water consumption. The ERU
consumption is based upon metered water consumption or comparison to
ORDINANCE NO. 023-06
Page 4 of 9
similar accounts when metered water consumption data is not readily
available.
The above -listed fees are effective as of November 1, 2006, and shall be
adjusted on November 1st of each year to reflect inflation based on the CPI-U of
Seattle.
(c) Water Connection Fee; Exception
The following exception applies to the assessment of the water
connection fee. All four elements of the below -listed requirements must
be present to qualify for the exception:
1. A nonresidential account paid the water connection fee at the
time the property connected to the City's water system;
2. Some time after the original connection, the property owner
decides to construct a new building, change the original use or
modify the original building;
3. After the building improvements are completed, the total water
usage for the nonresidential account will be equal to or less
than the usage at the time of the original connection; and
4. The new construction, change in use, or building modification
has not resulted in an additional direct connection to the
City's water system or the establishment of an additional
water account.
(2) Installation Fees
Installation fees are designed to reimburse the utility for the cost required to
connect the new service to the water main.
The labor installation fee is a flat fee plus sales tax based on the size of the
water meter for service lines less than 25 feet.
Installed by city employees:
METER SIZE FEE
3/4" $1,000 + cost of meter and associated materials
1" $1,200 + cost of meter and associated materials
1-1/2" $1,500 + cost of meter and associated materials
2" $2,000 + cost of meter and associated materials
Larger meters Estimated on a case -by -case basis
If the water service line exceeds 25 feet, or if the proposed construction is
unusually difficult, the installation fee will be based on an estimate completed
by the city for the required labor and material.
ORDINANCE NO. 023-06
Page 5 of 9
If the service is connected by other than city employees, the inspection fee of
$50.00 per meter will be charged. All materials shall comply with the
requirements of the city. If the city supplies any materials, the cost of these, plus
overhead and sales tax, will be paid by the customer. If the installation is
satisfactory, the city shall connect the meter if it is one inch or less in size. Larger
meters shall be installed by the contractor.
(3) Fees in Lieu of Assessment. Fees in lieu of assessment shall be charged on new
accounts unless exempted as explained below:
(a) The property has previously participated in a water local improvement district
and there are records to verify this.
(b) The city council exempts the property from the fees in lieu of assessment
because improvements on the property have substantially improved the
water system.
(c) The agreement for purchase and sale of assets of McCormick Water
Company, Inc., waives the city fee in lieu of assessment for water services.
These are the services within McCormick Woods, Campus Station and
McCormick 620. Fees in lieu of assessment shall be based on the zone and
termini method, as prescribed by law, used in Local Improvement District No.
63.
(4) Extension of Water to Property Contiguous to the City shall annex; Exception
Property lying within the urban growth boundary and contiguous to the Port
Orchard city limits shall annex to the city as a condition of water connection. In
the alternative, the City may elect to defer annexation and require the owner to
execute a utility extension agreement as described in POMC 13.04.040(11).
(5) Payment. All installation fees and fees in lieu of assessment shall be paid in full
prior to any issuance of permits and the physical connection of the private service
line to the water system.
SECTION 2 Section 13.04.040 of the Port Orchard Municipal Code is amended as
follows:
13.04.40 Sewer Capital Facility Charge; Extension of Sewer
(1) Sewer Capital Facility Charge is designed to mitigate the impact of new demands
on the existing sewer system and to require new users to pay their fair share of
the value of the sanitary sewer system. The Sewer Capital Facilities Charge
applies to new construction, changes in use, and building modifications that
increase the total number of equivalent residential units (ERU's). An ERU is 180
ORDINANCE NO. 023-06
Page 6 of 9
gallons per day for nonresidential connections. An ERU for residential
connections is one single family dwelling unit, whether detached or attached
and configured as an apartment unit, condominium unit, townhouse unit or any
other configuration. The ERU consumption is based upon metered water
consumption or comparison to similar accounts when metered water
consumption data is not readily available.
(a) Sewer Capital Facility Charge — Exception. The following exception applies
to the assessment of the sewer capital facility charge. All four elements of
the below -listed requirements must be present to qualify for the exception:
1. A nonresidential account paid the sewer capital facility charge at the time
the property connected to the City's sewer system;
2. Some time after the original connection, the property owner
decides to construct a new building, change the original use, or
modify the original building;
3. After the building improvements are completed, the total
sewer usage for the nonresidential account will be equal to or less
than the usage at the time of the original connection; and
4. The new construction, change in use, or building modification has
not resulted in an additional direct connection to the City's sewer
system or the establishment of an additional sewer account.
(2) The Sewer Capital Facility Charge consists of two components; the General
Facility Fee, and the Wastewater Treatment Facility Fee. The General Facility
Fee is $2,770.00 per ERU. The Wastewater Treatment Facility Fee is $3,230.00
per ERU. Provided, however, the properties within Divisions 1 through 10,
inclusively, of the McCormick Woods Land Company shall have a Wastewater
Treatment Fee of $791.25 per ERU.
(3) The Sewer Capital Facility Charge shall be paid before connecting to the City
Sanitary Sewer System, or before changing the use, or increasing the total ERU
count above the amount for which a Sewer Capital Facility Charge has been
paid. If work is to be done that requires a Sewer Capital Facility Charge, it shall
be paid before a permit shall be issued.
ERU's being used on the property than for which the Sewer Capital Facility
Charge was paid, the property owner shall pay to the City an additional Sewer
Capital Facility Charge based upon the new or expanded use. The additional
Sewer Capital Facility Charge shall be based upon the charge rate in effect at
the time the increased use is requested and/or detected, whichever first occurs.
(5) A credit against the Sewer Capital Facilities Charge may be applied for those
property owners that paid their assessments in full through a local
improvement district formed by the City where such local improvement district
ORDINANCE NO. 023-06
Page 7 of 9
is formed to finance the construction of any of the improvements that are a
basis for calculating the value of the Sewer Capital Facilities Charge. The credit
shall be equal to the amount of the property owner's principal assessment, not
including interest and penalties. The credit shall be applied at the time of
payment of the Sewer Capital Facilities Charge and shall not be used to reduce
any assessments in the local improvement district.
(6) A credit against the Sewer Capital Facilities Charge may be applied for those
property owners that construct at their own expense any of the improvements
that are a basis for calculating the value of the Sewer Capital Facilities Charge
or for those property owners that pay a latecomer's fee toward those same
improvements. The credit shall be the smaller of the following:
a) That portion of the design and construction costs of latecomer's agreement
that are directly applicable to the construction of the improvements that are a
basis for the value of the Sewer Capital Facilities Charge; or
(b) That proportionate amount of the Sewer Capital Facilities Charge that is
attributable to the sewer facilities either constructed by the property owner or
paid through a latecomer's fee.
(7) The above provisions notwithstanding, the amount of credit shall not exceed the
amount of the Sewer Capital Facilities Charge for the property to which the credit is
being applied.
(8) At the time the Sewer Capital Facilities Charge is paid, an inspection fee shall be
paid. The inspection fee is $50.00 per lateral connection to the main.
(9) All materials shall comply with the requirements of the City. If the City supplies any
materials, the cost of these plus overhead and sales tax will be paid by the
customer. (Ord. 010-05 § 5, 2005)
(10) Extension of Sewer to Property Contiguous to the City shall annex; Exception.
Property lying within the urban growth boundary and contiguous to the Port
Orchard city limits shall annex to the city as a condition of sewer connection. In
the alternative, the City may elect to defer annexation and require the owner to
execute a utility extension agreement as described in POMC 13.04.040(11).
(11) Requirement for Utility Extension Agreement.
(a) Property lying within the urban growth area which is not contiguous to the
Port Orchard city limits shall be permitted water and/or sewer connection
only upon entering into an appropriate agreement with the City containing
waiver of protest to annexation/limited power of attorney authorizing
ORDINANCE NO. 023-06
Page 8 of 9
annexation at such time as the City determines the property should be
annexed to the City. Application for extension of utilities is subject to the
following provisions:
1. Application fees as established by the City council shall be paid
upon the submittal of a signed Utility Extension Agreement
(UEA) requesting water and/or sewer for property outside the
City, but located within the urban growth area;
2. The applicant will bear the entire cost of water
and/or sewer connection pursuant to Ch. 13.04 EMC, as
written or hereafter amended, subject to any provisions in
effect at the time of connection for latecomer reimbursement;
3. The applicant will be subject to all applicable provisions of
Ch. 13.04 EMC, as written or hereafter amended, for
extension of city utilities, the payment therefore, and all
enforcement provisions therein; and
4. The UEA shall not be executed prior to the time formal
application is made for approval of the project for which
utilities are requested. The term of said agreement shall
terminate at the time any project application or approval
expires or is revoked for any reason. A new agreement shall
also be required for any extension of project application
or approvals or when the Director of Planning determines that
a substantial change or addition had been made to the
project.
(b) The City may disconnect the utilities for failure of the applicant or
his/her successor's or assigns for violation of Ch. 13.04 EMC; or for
violation of the terms and conditions of the UEA.
(a) Following execution, such agreement shall be recorded by the City
Clerk in the chain of title for such property in the records of the
Kitsap County Auditor.
SECTION 3. Severability. If any section, subsection, paragraph, sentence,
clause, or phrase of this ordinance is declared unconstitutional or invalid for any reason, such
decision shall not affect the validity of the remaining portions of this ordinance.
ORDINANCE NO. 023-06
Page 9 of 9
SECTION 4. Effective Date. This ordinance shall be effective five days after its
date of publication.
PASSED by the City council of the City of Port Orchard, APPROVED by the Mayor and
attested by the Clerk in authentication of such passage this 13th day of November, 2006.
KIM E. ABEL, MAYOR
ATTEST:
mu-"
Michelle Merlino, Interim City Clerk
APPROVED AS TO FORM: Sponsor, by:
Qi orn XouncFl Member John Clauson
Exhibit "A"
CITY OF PORT ORCHARD
City Council Policy statement regarding the application of
water connection fees and sewer general facility charges.
The water connection fees and sewer general facility charges set forth in Port
Orchard Municipal Code sections 13.04.030 and .040 are intended to mitigate the
impact of new demands on the city's water and sewer systems. The charges apply to
new construction, changes in use, and building modifications which increase the total
number of ERUs.
This policy statement applies to those circumstances where:
1. A nonresidential account paid the water connection fee and/or sewer general
facility charge at the time the property connected to the city's water and/or sewer
systems;
2. Some time after the original connection, the property owner decides to
construct a new building, change the original use, or modify the original building;
3. After the building improvements are completed, the total water and/or sewer
usage for the nonresidential account will be equal to or less than the usage at the time
of the original connection; and
4. The new construction, change in use, or building modification has not resulted
in either an additional direct connection to the city's water and/or sewer systems or the
establishment of an additional water/sewer account.
When all four of the above -stated conditions are present, then no new demand
has been created on the city's water and/or sewer systems and it is the city's policy that
a property owner shall not be required to pay an additional water connection fee or
sewer general facility charge.
Dated: August 14, 2007