Loading...
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, 104 _________________________________ ____________________________ Ron Brey, Assistant City Manager Chris A. Kukulski, City Manager Attachments Report compiled on : 105 - 1 - 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. 106 - 2 - 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 107 - 3 - 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 108