HomeMy WebLinkAbout08-13-07_Provisional Adoption of Ordinance No_ 1714, Provid_15
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Ron Brey, Assistant City Manager
Chris Kukulski, City Manager
SUBJECT: Ordinance 1714 providing for the repayment to the city of impact fees deferred
under the workforce housing program at the rate of 10% per year until the obligation is retired.
MEETING DATE: August 13, 2007
BACKGROUND: Ordinance 1710, which created the workforce housing program provided
for the waiver of impact fees under certain circumstances. The City Commission asked that the
program be revised for their consideration to collect those fees at the rate of 10% per annum until
the obligation is paid off and this ordinance accomplishes that.
RECOMMENDATION: Adopt Ordinance 1714
FISCAL EFFECTS: The City will recapture the subject impact fees at some slight additional
administrative cost.
ALTERNATIVES: As suggested by the City Commission.
Respectfully submitted,
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_________________________________ ____________________________
Ron Brey, Assistant City Manager Chris A. Kukulski, City Manager
Attachments
Report compiled on :
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ORDINANCE NO. 1714
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, PROVIDING THAT THE BOZEMAN MUNICIPAL CODE BE AMENDED
BY AMENDING SUBSECTION A.3. OF SECTION 17.02.060 TO PROVIDE FOR THE
REPAYMENT TO THE CITY OF IMPACT FEES DEFERRED UNDER THE
WORKFORCE HOUSING PROGRAM AT THE RATE OF 10% PER YEAR UNTIL
THE OBLIGATION IS RETIRED.
WHEREAS, Bozeman has adopted Ordinance 1710 creating a workforce housing program; and,
WHEREAS, Ordinance 1710 provided for the waiver of impact fees under certain
circumstances; and,
WHEREAS, it was subsequently determined that such waiver could not be legally applied; and,
WHEREAS, the City Commission wishes to assist in the cost reduction of housing built under
the workforce housing program; and,
Whereas, allowance of an incremental payment of impact fees would accomplish that
assistance.
NOW, THEREFORE, BE IT ORDAINED BY THE BOZEMAN CITY COMMISSION:
Section 1
That Subsection 17.02.060 A. 3. of the Bozeman Municipal Code be amended so that Section
17.02.060.A.3. reads:
17.02.060. Cost Offsets
A. Developers and builders may choose to take advantage of as many of the following cost offsets as
are appropriate for their project, subject to any limitations listed with specific offsets:
3. A sliding scale of fully waived, reduced and partially deferred impact fees will be used for WHUs.
WHUs priced for sale to households making 70% or less of AMI qualify for 100% waived
deferred impact fees. Units priced for sale to households making 71–80% AMI qualify for 50%
waived deferred impact fees and 50% impact fee payment deferred until required prior to
certificate of occupancy. Units priced for sale to households making 81% to 90% AMI qualify for
25% waived deferred impact fees and 75% impact fee payment deferred until required prior to
certificate of occupancy. Units priced for sale to households at 91–100% AMI qualify for 100%
impact fee payment deferred until required prior to certificate of occupancy.
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a. Deferred impact fees shall be paid to the City at the rate of 10% per year retiring the
obligation after ten years. In the event of the sale of the impact fee deferred property before
ten years, the remainder of the obligation will be collected from any subsequent buyers at the
rate of 10% per year until obligation is retired.
Section 3
Repealer. All resolutions, ordinances and sections of the Bozeman Municipal Code and parts
thereof in conflict herewith are hereby repealed.
Section 4
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.
Section 5
Severability. If any portion of this ordinance or the application thereof to any person or
circumstance is held invalid, such invalidity shall not affect other provisions of this ordinance which may be
given effect without the invalid provisions or application and, to this end, the provisions of this ordinance
are declared to be severable.
Section 6
Effective Date. This ordinance shall be in full force and effect on August 15, 2007.
PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana, at a
regular session thereof held on the ____ day of _______________, 2007
__________________________________________
JEFF KRAUSS, Mayor
ATTEST:
_____________________________________
CYNTHIA DELANEY
Acting City Clerk
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PASSED, ADOPTED AND FINALLY APPROVED by the City Commission of the City of
Bozeman, Montana, at a regular session thereof held on the ________ day of ________________, 2007.
__________________________________________
JEFF KRAUSS, Mayor
ATTEST:
_____________________________________
CYNTHIA DELANEY
Acting City Clerk
APPROVED AS TO FORM:
__________________________________________
PAUL J. LUWE
City Attorney
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