HomeMy WebLinkAboutOrdinance 13- 1853 Establishing definition of Maintenance, deferrel of fees ORDINANCE NO. 1853
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA AMENDING SECTION 2.06.1630.A TO CREATE A DEFINITION OF
MAINTENANCE, AMENDING 2.06.1640 TO REMOVE A PERCENTAGE OF
COLLECTION, TO ESTABLISH A CAP ON FEES COLLECTED WITH THE
CHANGE IN NON-RESIDENTIAL USES ON A PROPERTY, TO AUTHORIZE A
DEFERRAL OF FEE PAYMENT, AND TO REMOVE DUPLICATIVE TEXT,
AMENDING SECTION 2.06.1650 TO AUTHORIZE A DEFERRAL OF FEE PAYMENT,
AND TO REMOVE DUPLICATIVE TEXT, AMENDING SECTION 2.06.1660 TO
AUTHORIZE A DEFERRAL OF FEE PAYMENT, AND TO REMOVE DUPLICATIVE
TEXT, AMENDING SECTION 2.06.1670 TO AUTHORIZE A DEFERRAL OF FEE
PAYMENT, AND TO REMOVE DUPLICATIVE TEXT, AND AMENDING SECTION
2.06.1700 TO INCLUDE PARAMETERS FOR A FEE PAYMENT DEFERRAL
PROGRAM, TO CHANGE THE REQUIRED TIME FOR AN UPDATE TO THE FEE
STUDIES, AND REMOVE UNNEEDED COST ADJUSTMENT LANGUAGE.
WHEREAS, the City of Bozeman is committed to addressing the community's
expressed needs and desires for services; and
WHEREAS, the City of Bozeman is committed to meeting those desires and demands
for services in a fiscally responsible manner; and
WHEREAS, the City of Bozeman is committed to meeting those desires and demands
for services in a manner which recognizes the fiscal and legal interest of all of the system users
now and in the future; and
WHEREAS, Sections 7-6-1601 through 7-6-1604, MCA provide specific authority and
guidance about the necessary documentation to establish an impact fee and procedures to adopt
and administer an impact fee; and
WHEREAS, the City of Bozeman adopted an impact fee program in 1996 through
ordinance 1414 which has been amended from time to time; and,
WHEREAS, based on public testimony received during public hearings on October 8,
2012, December 10, 2012, and January 28, 2013 considering updates to the various impact fee
studies the City Commission identified possible changes to the municipal code which they
wanted to consider; and
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
WHEREAS, the City Commission directed staff to prepare a draft ordinance for their
consideration of possible deferral of the time of payment and other issues; and
WHEREAS, other minor changes were identified as improving the clarity and function
of the impact fee program;
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF BOZEMAN, MONTANA:
Section 1
Section 2.06.1630.A of the Bozeman Municipal Code be amended to include a new paragraph
which shall read as follows:
13. "Maintenance" means re-Placement, re-Pair, or caring for a constructed water, sewer,
fire/EMS, or transportation facility to preserve them in a functional state equal to their
initial installed design-, and which does not change the basic design or structure or
change them from their original purpose. Activities that change the scope of a project
beyond the original design are not included in this definition.
All other subsections of 2.06.1630 shall be renumbered accordingly.
Section 2
Section 2.06.1640 of the Bozeman Municipal Code be amended so that such section shall read as
follows:
See. 2.06.1640. - Street impact fees.
A. Imposition of transportation impact fees.
I. Any person who seeks to obtain any of the following forms of development approval is
required to pay a transportation impact fee in the amount specified in the commission
resolution adopting the most recent transportation impact fee study and establishing the
transportation impact fee and as updated as required in this division.
a. A building pen-nit;
b. Any other permit that will result in the construction of improvements that will
generate additional traffic; or
c. Any extension of any such permit that was issued before the effective date of the
ordinance from which this division is derived; or
d. Any delayed payment of impact fees as specified and approved by the city
commission in accordance with chapter 10, article 8.
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
2. Notwithstanding subsection A.1 of this section, no impact fee "I may be imposed
earlier than the issuance of a building permit for developments requiring a building
permit.
3. No permits of the types described in subsection A.I of this section shall may be issued
until the transportation impact fee described in this division has been paid, unless the
development for which the permit is sought is exempted by subsection F of this section;
or unless deferral of pqyment of the transportation impact fee has been approved by the
impact fee coordinator pursuant to a deferral program approved by resolution of the
Commission in compliance with 2.06.1700.1..
B. Computation of'amount of transportation impact fee.
1. An applicant required by this division to pay a transportation impact fee may choose to
have the amount of such fee determined pursuant to either subsection B.2 or B.3 of this
section. The amount of the fee calculated pursuant to either subsection B.2 or B.3 of this
section shall be subject to the following adjustment-,
a. For the first expansion of an existing nonresidential building, the amount calculated
shall not include the amount calculated for the expansion of up to 30 percent as
compared with its size on February 22, 1996, or 2,000 square feet, whichever is
less.
b. When a property changes from one non-residential use to another within an
existing nonresidential building the area included in the calculation of change in
demand shall exclude the first 2,000 square feet of gross floor area.
c. The transportation impact fees are those adopted by resolution of the commission
and as updated as provided for in this division. Beginning en Febfiiary 16, 2009,
the amount of the fee alleeted shall be 60 per-eent of the affietint ealeiaLated-.
2. Unless an applicant requests that the city determine the amount of such fee pursuant to
subsection B,3 of this section, the city shall determine the amount of the required
transportation impact fee by reference to the most recently adopted transportation
impact fee study. The fee amounts set forth in such study include credits for expected
future receipts of state and federal highway funds and expected future receipts of gas
tax revenues, and all other non-impact fee sources of funding anticipated to be made by
or as a result of new development to be applied to the transportation improvements
required to serve new development.
a. If the applicant's development is of a type not listed in the most recently adopted
transportation impact fee study, then the city shall use the fee applicable to the most
nearly comparable type or land use in the study. In making a decision about which
use is most nearly comparable, the city shall be guided by the most recent edition
of "Trip Generation: An Information Report" prepared by the Institute of
Transportation Engineers; or if such publication is no longer available, then by a
similar publication. If the city determines that there is no comparable type of land
use listed in the study, then a new fee shall be determined by:
(1) Finding the most nearly comparable trip generation rate from the publication
noted in subsection B.2.a. of this section; and
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
(2) Applying the formula set forth in subsection B.3.d of this section.
b. If the applicant's development includes a mix of those uses listed in the most
recently adopted transportation impact fee study, then the fee shall be determined
by adding up the fees that would be payable for each use if it were a freestanding
use pursuant to the most recently adopted transportation impact fee study,
c. If the applicant is applying for an extension of a pen-nit issued previously, then the
fee shall be the net increase between the fee applicable at the time of the current
permit application and any transportation impact fee previously paid pursuant to
this division for the same structure. In the event that the fee applicable at the time
of the current permit application is lower than the transportation impact fee
previously paid pursuant to this division for the same structure, there shall be no
refund of transportation impact fees previously paid.
d. If the applicant is applying for a permit to allow a change of use or the expansion,
redevelopment, or modification of an existing development, the fee shall be based
on the net positive increase in the fee for the new use as compared to the previous
use. However, no new fee shall be imposed unless an additional unit of service
demand is created, in accordance with the most recently adopted transportation
impact fee study. If necessary to determine such net increase, the city shall be
guided by the most recent edition of "Trip Generation: An Information Report"
prepared by the Institute of Transportation Engineers; or if such publication is no
longer available, then by a similar publication. In the event that the proposed
change of use, expansion, redevelopment, or modification results in a net decrease
in the fee for the new use or development as compared to the previous use or
development, there shall be no refund of transportation impact fees previously paid.
3. An applicant may request that the city determine the amount of the required
transportation impact fee by reference to an independent fee calculation study for the
applicant's development prepared by qualified professional traffic engineers and/or
economists at the applicant's cost and submitted to the city engineer. Any such study
must show the traffic engineering and economic methodologies and assumptions used,
including, but not limited to, those forms of documentation listed in subsections B.3.a
and B.3.b of this section and must be acceptable to the city pursuant to subsection B.3.c
of this section.
a. Traffic engineering studies must include documentation of trip generation rates, trip
lengths, any percentage of trips from the site that represent net additions to current
trips from the site, the percentage of trips that are new trips as opposed to pass-by
or divert-link trips, and any other trip data for the proposed land use.
b. Economic studies must include documentation of any special factors that the
applicant believes will reduce the traffic volumes otherwise attributable to the
proposed land use.
c. The city shall consider all such documentation and any independent fee calculation
study submitted by the applicant, but shall not be required to accept any such study
or documentation that the city deems to be inaccurate or unreliable and may request
that the applicant submit additional or different documentation for consideration.
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
Any independent fee calculation study submitted by an applicant may be accepted,
rejected, or accepted with modifications by the city as the basis for calculating
transportation impact fees.
d. Upon acceptance, or acceptance with modifications, of an independent fee
calculation study and documentation, the city shall use the formulas and
methodology contained within the most recently adopted transportation impact fee
study to determine the transportation impact fee.
C. Payment of transportation impact fee.
1. An applieaR4 fer- aiiy of the permils ef extensions listed iii subseetion A4 ef this seet
shall pay the transpoi4ation iffipael fee reqiiir-ed by this division to the eky pfier to t
issoanee of any sueh peFnq4-.
All funds paid by an applicant pursuant to this division shall be identified as
transportation impact fees and shall be promptly deposited in the transportation impact
fee fund described in subsection D of this section.
D. Transportation impact fee funds.
I. A single transportation impact fee fund is created and such fund shall be maintained in
an interest bearing account,
2. Such fund shall contain only those transportation impact fees collected pursuant to this
division and any interest which may accrue from time to time on such amounts.
E. Use of transportation impact fie finds. The moneys in the transportation impact fee fund
shall be used only as follows:
1. To acquire land for and/or acquire or construct capacity-adding capital improvements to
the transportation system reasonably related to the benefits accruing to new
development subject to the terms of this division, in accordance with the requirements
of state law; or
2. To pay debt service on such capital improvements to the transportation system; or
3. For purposes of refunds or credits, as described in section 2,06.1680 or 2.06,1690.G;
and
4. May not be used for:
a. Operations or maintenance purposes;
b. To correct existing deficiencies; or
c. For bicycle or pedestrian facilities-not unless built in conjunction with and included
in a capacity-adding transportation system facility, otherwise eligible for impact fee
funding.
F. Exemptions from transportation impaci fee,
1. The following types of development shall be exempted from payment of the
transportation impact fee:
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, lmpact Fees
a. Alterations, remodeling, rehabilitations, expansions of existing buildings, or other
improvements to an existing structure where no additional vehicle trips will be
produced over and above those produced by the existing use;
b. Construction of accessory buildings or structures that will not produce additional
vehicle trips over and above those produced by the primary building or land use;
c. The replacement of a destroyed or partially destroyed building or structure with a
new building or structure of the same size and use where no additional vehicle trips
will be produced over and above those produced by the original building or
structure;
d. The installation or replacement of a mobile home on a lot or a mobile home site
when a transportation impact fee for such lot or site has previously been paid
pursuant to this division or where a mobile home legally existed on such site on or
prior to the effective date of the ordinance from which this division is derived;
e. Any other type of development for which the applicant can demonstrate that the
proposed land use and development will produce no more vehicle trips from such
site over and above the trips from such site prior to the proposed development, or
for which the applicant can show that a transportation impact fee for such site has
previously been paid in an amount that equals or exceeds the transportation impact
fee that would be required by this division for such development,
2. Any such claim for exemption must be made no later than the time when the applicant
applies for the first permit or a type listed in subsection A.1 of this section for the
proposed development, and any claim for exemption not made at or before that time
shall have been waived.
3. The city shall determine the validity of any claim for exemption pursuant to the criteria
set forth in subsection F.I of this section.
Section 3
Section 2.06.1650 of the Bozeman Municipal Code be amended so that such section shall read as
follows:
See. 2.06.1650. - Fire protection and emergency medical service impact fees.
A. Imposition of fire protection and emergency medical service impact fees.
1. Any person who seeks to obtain any of the following forms of development approval is
required to pay a fire/EMS impact fee in the amount specified in the Commission
resolution adopting the most recent fire/EMS impact fee study and establishing the
fire/EMS impact fee and as updated as required in this division:
a. A building permit; or
b. Any other permit that will result in construction that will generate demand for fire
protection services; or
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
c. Any extension of any such permit that was issued before the effective date of the
ordinance from which this division is derived, is required to pay a fire protection
impact fee in the amount specified in this division; or
d. Any delayed payment of impact fees as specified and approved by the city
commission in accordance with chapter 10, article 8.
2. No permits of the types described in subsection A.1 of this section 4 au may be issued
until the fire protection/EMS impact fee described in this division has been paid, unless
the development for which the permit is sought is exempted by subsection F of this
section; or unless deferral of pUment of the fire protection/EMS im pact fee has been
approved by the city pursuant to a deferral program approved by resolution of the
Commission in compliance with 2.06.1700.1.
B. Computation of amount offire protection/E11 S impact fee.
1. An applicant required by this division to pay a fire protection/EMS impact fee may
choose to have the amount of such fee determined pursuant to either subsection B.2 or
B.3 of this section. The amount of the fee calculated pursuant to either subsection B.2 or
B,3 of this section shall be subject to the following adjustment:
a. For the first expansion of an existing nonresidential building, the amount calculated
shall not include the amount calculated for the expansion of up to 30 percent as
compared with its size on February 22, 1996, or 2,000 square feet, whichever is
less.
2. Unless an applicant requests that the city determine the amount of such fee pursuant to
subsection B.3 of this section, the city shall determine the amount of the required fire
protection impact fee by reference to the most recently adopted fire impact fee study.
a. If the type of development that a permit is applied for is not listed in the most
recently adopted fire impact/EMS fee study, then the city shall use the fee
applicable to the most nearly comparable type or land use in the study.
b. If the type of development that a permit is applied for includes a mix of those uses
listed in the most recently adopted fire impact fee study, then the fee shall be
determined by adding up the fees that would be payable for each use if it were a
freestanding use pursuant to the most recently adopted fire impact fee study.
c. If the applicant is applying for an extension of a permit issued previously, then the
fee shall be the net increase between the fee applicable at the time of the current
permit application and any fire protection impact fee previously paid pursuant to
this division for the same structure. In the event that the fee applicable at the time
of the current permit application is lower than the fire protection impact fee
previously paid pursuant to this division for the same structure, there shall be no
refund of fire protection impact fees previously paid.
d. If the applicant is applying for a permit to allow a change of use or for the
expansion, redevelopment, or modification of an existing development, the fee
shall be based on the net increase in the fee for the new use as compared to the
previous use. In the event that the proposed change of use, expansion,
redevelopment, or modification results in a net decrease in the fee for the new use
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
or development as compared to the previous use or development, there shall be no
refund of fire protection impact fees previously paid.
3. An applicant may request that the city determine the amount of the required fire/EMS
protection impact fee by reference to an independent fee calculation study for the
applicant's development prepared at the applicant's cost by qualified professional fire
protection experts and/or economists and submitted to the city fire chief. Any such
study shall be based on the same service standards and unit costs for fire
protection-/EMS used in the most recently adopted fire/EMS impact fee study, and must
document the economic methodologies and assumptions used. Any independent fee
calculation study submitted by an applicant may be accepted, rejected, or accepted with
modifications by the city as the basis for calculating fire protection impact fees. If such
study is accepted or accepted with modifications as a more accurate measure of the
demand for new fire protection/EMS facilities and equipment created by the applicant's
proposed development than the applicable fee shown in the most recently adopted fire
impact fee study, then the fire protection/EMS impact fee due under this division may
be calculated according to such study.
C. Payment qffire proteclion✓EM,5 impact fees.
1. An applieaR+fequifed by!his division te pa�, a fire pfeteefieiVEMS impael fee shall pay
si;ieh f�e te the eity prier te the issuanee of any of the peffnits listed in subseetion A.I ef
this section.
27--All funds paid by an applicant pursuant to this division shall be identified as fire
protection/EMS impact fees and shall be promptly deposited in the fire protection/EMS
impact fee fund described in subsection D of this section.
D. Fire pro te ctionlEMS impact fee funds.
1. A single -fire protection/EMS impact fee fund is created and such fund shall be
maintained in an interest bearing account.
2. Such fund shall contain only those fire protection/EMS impact fees collected pursuant
to this division and any interest which may accrue from time to time on such amounts.
E. Use of fire protection/EMS impact fee funds, The moneys in the fire protection/EMS impact
fee fund shall be used only:
I. To acquire or construct fire protection/EMS improvements within the city; or
2. To pay debt service on any portion of any future general obligation bond issue or
revenue bond issue used to finance the acquisition or construction of fire
protection/EMS improvements within the city; or
3. As described in section 2.06.1680 or 2.06,1690,G.
F. Exemplionsfi,om fire protection/EMS'impact fee.
1. The following types of development shall be exempted from. payment of the fire
protection/EMS impact fee:
a. Reconstruction or replacement of a previously existing residential unit that does not
create any additional or larger residential units.
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Ordinance 1853,A-inending,Chapter 2, Article 6, Division 9, Impact Fees
b. Construction of unoccupied accessory units related to a residential unit.
c. Projects that the applicant can demonstrate will produce no greater demand for fire
protection/EMS from such land than existed prior to issuance of such permit.
d. Projects for which a fire protcction/EMS impact fee has previously been paid in an
amount that equals or exceeds the fire protection/EMS impact fee that would be
required by this division.
2. Any such claim for exemption must be made no later than the time when the applicant
applies for the first permit of a type listed in subsection A.1 of this section for the
proposed development, and any claim for exemption not made at or before that time
shall have been waived.
3. The city shall determine the validity of any claim for exemption pursuant to the criteria
set forth in subsection F.I of this section.
Section 4
Section 2.06.1660 of the Bozeman Municipal Code be amended so that such section shall read as
follows:
See. 2.06.1660. - Water impact fees.
A. Imposition of water impact fees.
I. Any person who seeks to obtain a permit for connection to the city water system, or
who is subject to subsection B.2.b of this section and applies for a city permit to expand
or add to the structure served by a previously approved water connection, or any
extension of such a permit issued before the effective date of the ordinance from which
this division is derived, is required to pay a water impact fee in the amount specified in
the commission resolution adopting the water impact fee study and establishing the
water impact fee and as updated as required in this division; or
2. Any delayed payment of impact fees as specified and approved by the city commission
in accordance with chapter 10, article S.
3. No permits for connection to the city water system shall-mav be issued until the water
impact fee described in this division has been paid, unless the development for which
the permit is sought is exempted by subsection F of this sections or unless deferral of
payment of the water im pact fee has been qpproved by the cily pursuant to a deferral
pro ram by resolution of the Commission in compliance with 2.06.1700.1.
B. Computation of amount ofivater impact fee.
1. The city shall determine the amount of the required water impact fee by reference to the
most recently adopted water impact fee study unless the applicant chooses to submit an
individualized calculation pursuant to subsection B,2.a of this section or the city
determines the application to be subject to subsection B.2.b of this section. If the
applicant is applying for a replacement for a water connection permit issued previously,
then the fee shall be the net positive difference between the fee applicable at the time of
the current permit application and any water impact fee previously paid pursuant to this
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
division for the same structure. In the event that the fee applicable at the time of the
replacement permit application is lower than the water impact fee previously paid
pursuant to this division for the same structure, there shall be no refund of water impact
fees previously paid.
2. Individualized calculations.
a. An applicant may request that the city determine the amount of the required water
impact fee by reference to an independent fee calculation study for the applicant's
development prepared at the applicant's cost by a professional engineer and/or
economist and submitted to the city public service director. Any such study shall be
based on the same service standards and unit costs used in the most recently
adopted water impact fee study and must document the economic methodologies
and assumptions used. Any independent fee calculation study submitted by an
applicant may be accepted, rejected, or accepted with modifications by the city as
the basis for calculating water impact fees. If such study is accepted, or accepted
with modifications, as a more accurate measure of the demand for new water
facilities created by the applicant's proposed development than the applicable fee
shown in the most recently adopted water impact fee study, then the water impact
fee due under this division may be calculated according to such study.
b. The city may identify a user as having extraordinary demands for water service
which are not accurately represented by the average usage which was relied upon
by the methodology which generated the calculated charges in the most recently
adopted water impact fee study. In this circumstance the city shall prepare a
customized calculation based upon the most recently adopted water impact fee
study. The impact fee paid for water meters larger than three inches as of the
effective date of the ordinance from which this division is derived may be adjusted
based on actual usage. If usage is greater than 110 percent of anticipated volume
during the 12-month period of time beginning six months after building occupancy
is granted by the city, an additional impact fee may be charged, using the same
techniques for calculating peak day and storage EDUs and multiplying by the peak
day impact fee cost per EDU and the storage impact fee cost per EDU then in
effect. The additional impact fee is the positive net between a previously calculated
impact fee and the impact fee based upon the metered demand.
C. Payment of water impact fee.
1. A:n appliean4 r-eq-air-ed by this division to pay a we4er-impaet fee shall pay sueh fee to
eit-y p6er-le �he issuanee of a vvaler-eameefien peffflit.
2-:--All funds paid by an applicant pursuant to this division shall be identified as water
impact fees and shall be promptly deposited in the water impact fee fund described in
subsection D of this section.
D. Water impact fee farads.
I. A single water impact fee fund is created and such fund shall be maintained in an
interest bearing account.
2. Such fund shall contain only those water impact fees collected pursuant to this division
and any interest which may accrue from time to time on such amounts.
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
E. Use o water impact
�f fie funds. The moneys in the water impact fee fund shall be used only:
1. To acquire or construct improvements to the city water system; or
2. To pay debt service on any portion of any future general obligation bond issue or
revenue bond issue used to finance improvements to the city water system; or
3. As described in section 2.06.1680 or 2.06.1690.G.
F. Exemptions from water impact fees.
1. The following types of development shall be exempted from payment of the water
impact fee:
a. Alteration or expansion of an existing nonresidential building that does not require
an additional or larger water meter;
b. Replacement of a nonresidential building or structure of the same size that does not
require an additional or larger water meter;
c. The reconstruction or replacement of a previously existing residential unit that does
not create any additional or larger residential units.
2. The installation of fire lines for fire protection shall be exempted from payment of the
water impact fee.
3. Any such claim for exemption must be made no later than the time when the applicant
applies for the first permit of a type listed in subsection A.1 of this section for the
proposed development, and any claim for exemption not made at or before that time
shall have been waived.
4. The city shall determine the validity of any claims for exemption pursuant to the criteria
set forth in subsections F.1 and F.2 of this section.
Section 5
Section 2.06.1670 of the Bozeman Municipal Code be amended so that such division shall read
as follows:
Sec. 2.06.1670. - Wastewater impact fees.
A. Imposition of wastewater impact fees.
I. Any person who seeks to obtain a permit for connection to the city wastewater system,
or who is subject to subsection B.2.b of this section and applies for a city permit to
expand or add to the structure served by a previously approved water connection, or any
extension of such a permit issued before the effective date of the ordinance from which
this division is derived is required to pay a wastewater impact fee in the amount
specified in the commission resolution adopting the wastewater impact fee study and
establishing the wastewater impact fee and as updated as required in this division; or
2. Any delayed payment of impact fees as specified and approved by the city commission
in accordance with chapter 10, article 8.
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
3. No permits for connection to the city water systems maybe issued until the water
impact fee described in this division has been paid, unless the development for which
the permit is sought is exempted by subsection F of this scctionz or unless deferral of
pqyment of the wastewater._jInpact fee has been approved b the cily pursuant to a
deferral program qpproved by resolution of the Commission in compliance with
2.06,1700.1.
B. Computation of amount of wastewater impact fee.
1. The city shall determine the amount of the required wastewater impact fee by reference
to the most recently adopted wastewater impact fee study unless the applicant chooses
to submit an individualized calculation pursuant to subsection B.2.a of this section or
the city determines the application to be subject to subsection B.2.b of this section. If
the applicant is applying for a replacement for a wastewater connection permit issued
previously, then the fee shall be the net positive difference between the fee applicable at
the time of the current permit application and any wastewater impact fee previously
paid pursuant to this division for the same structure. In the event that the fee applicable
at the time of the replacement permit application is lower than the wastewater impact
fee previously paid pursuant to this division for the same structure, there shall be no
refund of wastewater impact fees previously paid.
2. Individualized calculations.
a. An applicant may request that the city determine the amount of the required
wastewater impact fee by reference to an independent fee calculation study for the
applicant's development prepared at the applicant's cost by a professional engineer
and/or economist and submitted to the city public service director. Any such study
shall be based on the same service standards and unit costs used in the most
recently adopted wastewater impact fee study and must document the economic
methodologies and assumptions used. Any independent fee calculation study
submitted by an applicant may be accepted, rejected, or modified by the city as the
basis for calculating wastewater impact fees. If such study is accepted or accepted
with modifications as a more accurate measure of the demand for new wastewater
facilities created by the applicant's proposed development than the applicable fee
shown in the most recently adopted wastewater impact fee study, then the
wastewater impact fees due under this division shall be calculated according to
such study.
b. The city may identify a user as having extraordinary demands for wastewater
service which are not accurately represented by the average usage which was relied
upon by the methodology in the most recently adopted wastewater impact fee
study. In this circumstance the city shall prepare a customized calculation based
upon the methodology in the water impact fee study. When applicable an
adjustment for high strength discharge will be applied. The impact fee paid for
water meters later than three inches as of the effective date of the ordinance from
which this division is derived may be adjusted based on actual usage. If usage is
greater than 110 percent of anticipated volume or other measure of demand during
the 12-month period of time beginning six months after building occupancy is
granted by the city, an additional impact fee may be charged, using the same
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
techniques for calculating treatment and collection in EDUs and multiplying by the
impact fee cost per EDU. The additional impact fee is the positive net between a
previously calculated impact fee and the impact fee based upon the metered
demand.
C. Payment of wastewater impact fee.
1.
to the city prior-to the issuanee of a wastewater-eafineetien p
All funds paid by an applicant paid pursuant to this division shall be identified as
wastewater impact fees and shall be promptly deposited in the wastewater impact fee
fund described in subsection D of this section.
D. Wastewater impact fee funds.
1. A single wastewater impact fee fund is created and such fund shall be maintained in an
interest bearing account.
2. Such fund shall contain only those wastewater impact fees collected pursuant to this
division and any interest which may accrue from time to time on such amounts.
E. Use of wastewater impact fee funds. The moneys in the wastewater impact fee fund shall be
used only:
1. To acquire or construct improvements to the city wastewater system; or
2. To pay debt service on any portion of any future general obligation bond issue or
revenue bond issue used to finance improvements to the city wastewater system; or
3. As described in section 2.06.1680 or section 2.06.1690.G.
F. Exemptions from wastewater impact fees.
1. The following types of development shall be exempted from payment of the wastewater
impact fee:
a. Alteration or expansion of an existing nonresidential building that does not require
an additional or larger water meter;
b. Replacement of a nonresidential building or structure of the same size that does not
require an additional or larger water meter;
c. The replacement of a previously existing residential unit that does not create any
additional or larger residential units.
2. Any such claim for exemption must be made no later than the time when the applicant
applies for the first permit of a type listed in subsection A.1 of this section for the
proposed development, and any claim for exemption not made at or before that time
shall have been waived.
3. The city shall determine the validity of any claim for exemption pursuant to the criteria
set forth in subsection F.I of this section.
Section 6
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
Section 2.06.1700 of the Bozeman Municipal Code be amended so that such section shall read as
follows:
See. 2.06.1700. - Miscellaneous provisions.
A. Interest earned on moneys in any impact fee fund shall be considered part of such fund and
shall be subject to the same restrictions on use applicable to the impact fees deposited in
such fund.
B. No moneys from any impact fee fund shall be spent for periodic or routine maintenance of
any facility of any type or to cure deficiencies in public facilities existing on the effective
date of the ordinance from which this division is derived.
C. Nothing in this division shall restrict the city from requiring an applicant to construct
reasonable project improvements required to serve the applicant's project, whether or not
such improvements are of a type for which credit is available under section 2.06.1690
D. The city shall maintain accurate records of the development impact fees paid, including the
name of the person paying such fees, the project for which the fees were paid, the date of
payment of each fee, the amounts received in payment for each fee, and any other matters
that the city deems appropriate or necessary to the accurate accounting of such fees, and
such records shall be available for review by the public during city business hours,
E. At least once during each fiscal year of the city, the city manager shall present to the city
commission a proposed impact fee capital improvements program for the transportation
system, fire protection system, water system, and wastewater system, which identifies the
capacity-adding capital improvements that will benefit new development subject to the
terms of this division, exclusive of any improvements needed to correct existing deficiencies
or for operation or maintenance purposes. Such capital improvements program shall assign
moneys from each impact fee fund to specific projects and related expenses for
improvements to the type of facilities or services for which the fees in that fund were paid.
Any moneys, including any accrued interest, not assigned to specific projects within such
capital improvements program and not expended pursuant to section 2.06.1680 or
2.06,1690.G shall be retained in the same impact fee fund until the next fiscal year. The
impact fee capital improvements program shall be adopted by the city commission as a
supplemental document to the city budget. The impact fee capital improvements program
shall schedule the construction of capital improvements to serve projected growth and
project capital improvement costs, expenditures and impact fee fund revenues for a five-year
period. The individual fee funds shall maintain a positive fiscal balance. The program may
be amended by a majority vote of the city commission. The city manager shall adopt and
revise, as needed, an administrative impact fee manual to carry out the purposes of this
division.
F. The city shall be entitled to retain not more than five percent of the development impact fees
collected as payment for the expenses of collecting the fee and administering this division.
G. If a development impact fee has been calculated and paid based on a mistake or
misrepresentation, it shall be recalculated. Any amounts overpaid by an applicant shall be
refunded by the city to the applicant within 30 days after the city's acceptance of the
recalculated amount, with interest at the rate of five percent per annum since the date of such
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Ordinance 1.853, Amending Chapter 2, Article 6, Division 9, Impact Fees
overpayment. Any amounts underpaid by the applicant shall be paid to the city within 30
days after the city's acceptance of the recalculated amount, with interest at the rate of five
percent per annum since the date of such underpayment. In the event the underpayment is
caused by an error attributed solely to the city, the applicant shall pay the recalculated
amount without interest. In the case of an under-payment to the city, the city shall not issue
any additional pen-nits or approvals for the project for which the development impact fee
was previously paid until such underpayment is corrected; and if amounts owed to the city
are not paid within such 30-day period, the city may also repeal any permits issued in
reliance on the previous payment of such development impact fee and refund such fee to the
then current owner of the land.
H. In order to promote affordable workforce housing of the city, the city commission may
waive impact fees for workforce housing lots approved by the city commission pursuant to
chapter 10, article 8, by paying some or all of the impact fee from other funds of the city that
are not restricted to other uses. In order to promote the economic development of the city
and the provision of affordable housing in the city, the city commission may agree to pay
some or all of the development impact fees imposed on a proposed development by this
division from other funds of the city that are not restricted to other uses. Any such decision
to pay development impact fees on behalf of an applicant shall be at the discretion of the city
commission and shall be made pursuant to goals and objectives previously adopted by the
city commission to promote economic development and/or affordable housing.
I. The City,Commission mU, by resolution, create a program to enable deferral of payment of
impact fees to a time after issuance of a.building permit or a connection permit to the water
and sewer systems. An
y such resolution shall:
1, Specify the circumstances and conditions under which a deferral may be allowed or
disallowed.
2. Specif
I the points in time when the deferral ma y be requested, granted, and when
payment of fees is required.
3. Specify costs to be incurred with deferral and fee payment and who is responsible for
pUing those costs.
4. Specify the process to receive, and process a rqqEe
�st for a deferral, including an
administrative fees or required security for payment.
5. Specify the process for recognizing the pgyment of deferred fees and the release of an
limitations on the property.
6. Re wire an fee deferral agreement and related documents as gpp roved..by the City
AttoMey to be recorded at the Gallatin Count y Clerk and Recorder's office securing the
amount due, including a covenant running with the land agreeing that a certificate of
occupancy or other permit required by this division when a certificate of ocpMancy is not
required will not be provided until payment„of the deferred fees is verified.
li, 1. Any determination made by any official of the city charged with the administration of
any part of this division may be appealed to the development impact fees review
committee by filing:
a. Awritten notice of appeal on a form provided by the city;
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
b. A written explanation of why the appellant feels that a determination was in error;
and
c. An appeal fee of$500.00 with the impact fee coordinator within ten working days
after the determination for which the appeal is being filed.
2. The development impact fees review committee shall meet to review the appeal within
30 working days of the date the written appeal was presented to the impact fee
coordinator. If the appellant is dissatisfied with the decision of the development impact
fees review committee, the appellant may appeal the decision to the city commission by
filing a written request with the city clerk within ten working days of the committee's
decision. At the regular meeting following the filing of the appeal, the city commission
shall fix a time and place for hearing the appeal; and the city clerk shall mail notice of
the hearing to the appellant at the address given in the notice of appeal. The hearing
shall be conducted at the time and place stated in such notice given by the city
commission. The determination of the city commission shall be final. If the city
commission concludes that all or part of a determination made by an official of the city
charged with the administration of any part of this division was in error, then the appeal
fee described in this subsection shall be returned to the appellant.
JK. Updating of impact fee information.
1. The facility plans described in this division shall be reviewed by the city at least once
every five years and if a revision of a facility plan to address changed conditions is
deemed necessary by the city, the plan shall be updated,
2. The development impact fees described in this division, fee studies, data and analysis
relied upon and required by MCA 7-6-1602, and the administrative procedures and
manual of this division shall be updated at least once every4h-r-ee four fiscal years.
3. The impact fee capital improvement program shall be reviewed and updated as provided
in section 2.06.1700.E.
4, The purpose of the review and updating of impact fee related documentation is to
ensure that:
a. The demand and cost assumptions underlying such fees are still valid;
b. The resulting fees do not exceed the actual cost of constructing improvements that
are of the type for which the fee was paid and that are required to serve new
development;
c. The moneys collected or to be collected in each impact fee fund have been, and are
expected to be, spent for improvements of the type for which such fees were paid;
and
d. That such improvements will benefit those developments for which the fees were
paid.
KL. The development impact fees shown in the most recently adopted impact fee studies shall be
adjusted annually to reflect the effects of inflation on those costs for improvements set forth
in the impact fee studies. On January 1 of each year unless and until the impact fee studies
are revised or replaced, and then beginning in the subsequent calendar year, each fee amount
16 of 19
Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact lees
set forth in each such study shall be adjusted by multiplying such amount by one plus the
value of the Construction Cost Index published in the first December edition of the current
year. (Source: Engineering News Record.) The right ef way eampenent of!he tfanspeftation
fee by eiie phis the pefeentage value of the iiiefease in taxable VaWe from !he preeeding
year-. Such adjustments in such fees shall
become effective immediately upon calculation by the city and shall not require additional
action by the city commission to be effective.
L-M.Violation of this division shall be a misdemeanor and shall be subject to those .remedies
provided in section 1.01.210. Knowingly furnishing false information to any official of the
city charged with the administration of this division on any matter relating to the
administration of this division, including without limitation the furnishing of false
information regarding the expected size, use, or traffic impacts from a proposed
development, shall be a violation of this division. In addition to, or in lieu of, any criminal
prosecution, the city or any applicant for a permit of the types described in section
2.06.1640.A.1, 2.06.1650.A.1, 2.06.1660.A.1, or 2.06.1670.A.1 shall have the right to sue in
civil court to enforce the provisions of this division.
MN. The section titles used in this division are for convenience only and shall not affect the
interpretation of any portion of the text of this division.
NU,Any judicial action or proceeding to attack, review, set aside, or annul the reasonableness,
legality, or validity of any development impact fee must be filed and service of process
effected within 90 days following the date of imposition of the fee or the final determination
of the city commission,whichever is the later.
Section 7
Repealer.
All provisions of the ordinances of the City of Bozeman in conflict with the provisions of
this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances
of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full
force and effect.
Section 8
Savings Provision.
This ordinance does not affect the rights and duties that matured, penalties that were
incurred or proceedings that were begun before the effective date of this ordinance. All other
provisions of the Bozeman :Municipal Code not amended by this Ordinance shall remain in full
force and effect.
Section 9
Severability.
That should any sentence, paragraph, subdivision, clause, phrase or section of this
ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect
17 of 1.9
Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Impact Fees
the validity of this ordinance as a whole, or any part or provision thereof, other than the part so
decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman
Municipal Code as a whole.
Section 10
Codification.
This Ordinance shall be codified as indicated in Section I – 6.
Section 11
Effective Date.
This ordinance shall be in full force and effect on March 30, 2013.
PROVISIONALLY ADOPTED by the City Commission of the City of Bozeman,
Montana, on first reading at a regular session held on the 28th day of January, 2013.
SEAN A. BEMER
Mayor
ATTEST—'- �
U
.. .............
'
STACY U C
City Clerk
FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the
City of Bozeman, Montana on second reading at a regular session thereof held on the 25th day of
February, 2013. The effective date of this ordinance is March 30, 2013.
MayooSEAN A. BECKER
Mayor
Mr
ATTEST:-'')`Sj-`
U-M-1
STA
MC:
city Cr
APPROVED AS TO FORM:
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Ordinance 1853, Amending Chapter 2, Article 6, Division 9, Ipapact Fees
r,
CwG G s 'ILLIVAN
City Attorney
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