This chapter is enacted for the purpose of authorizing and establishing a procedure for levying assessment installments in lieu of payment of sewer main installation fees and sewer lateral installation fees incident to the connection of residential and nonresidential premises to the city sewer system, where such premises are presently served by a private sewer system consisting of a septic tank and leach field which will be abandoned at the time such premises are connected to the city sewer system.
(Ord. 1616 § 1, 2002)
The city council finds as follows:
A. 
The city council finds that there remains within the city sewer service area a number of residential and nonresidential premises which are still being served by a private sewer system consisting of a septic tank and leach field rather than being connected to the city sewer system;
B. 
The city council finds that it is in the public interest to facilitate connection of such premises to the city sewer system in that by reason of high nitrate levels in the groundwaters underlying the city and its environs, caused in large part by individual septic tanks and leach fields which now serve a significant number of premises located in that part of the city sewer service area within the incorporated territory of the city as well as a large number of premises located in that part of the city sewer service area within the unincorporated territory of the county of Orange;
C. 
The city council finds that one means of facilitating connection of the premises to the city sewer system is to provide the owners of such premises with an alternate means of financing the sewer main installation fees and sewer lateral installation fees which ordinarily become due and payable in accordance with the provisions of Chapter 13.08 of this code at the time of connection of the premises to the city sewer system;
D. 
The intent of this council in enacting this chapter is to provide such financial assistance by allowing payment of such fees over a ten-year period through the levying of assessment installments in lieu of payment of sewer system connection fees in the manner provided for by this chapter.
(Ord. 1616 § 1, 2002)
For purposes of this chapter the term, "sewer system connection fees," shall mean all sewer main installation fees and sewer lateral installation fees which become due and payable in accordance with the provisions of Chapter 13.08 of this code incident to the connection of premises to the city sewer system.
(Ord. 1616 § 1, 2002)
The provisions of this chapter shall apply to and authorize the levy of assessment installments in lieu of payment of sewer system connection fees for the following residential and nonresidential premises within the city sewer service area connecting to the city sewer system:
A. 
Premises Within the Incorporated Territory of the City of La Habra. Where premises connecting to the city sewer system are located in that part of the city sewer service area within the incorporated territory of the city, this chapter shall authorize the levy of assessment installments in lieu of payment of sewer system connection fees if, and only if, such premises are presently being served by a private sewer system consisting of a septic tank and leach field which will be abandoned at the time the premises are connected to the city sewer system.
B. 
Premises Within the Unincorporated Territory of the County of Orange. Where the premises being connected to the city sewer system are located in that part of the city sewer service area within the unincorporated territory of the county of Orange, this chapter shall authorize the levy of assessment installments in lieu of payment of sewer system connection fees if, and only if, such premises are presently being served by a private sewer system consisting of a septic tank and leach field which will be abandoned at the time the premises are connected to the city sewer system and if, in addition, the county of Orange has entered into a joint powers agreement with the city pursuant to Article 1, Chapter 5, Division 7, Title 1 of the Government Code (commencing with Section 6500) which authorizes the city to levy such assessment installments on premises located within the unincorporated territory of the county of Orange.
(Ord. 1616 § 1, 2002)
Any notice or other documents required to be served on the owner of an interest in the fee title to premises pursuant to this chapter shall be deemed served when either personally delivered to such person or when deposited in the United States mail, certified and return receipt requested, addressed to the person at his or her address as it appears on an assessment petition filed in the manner provided by this chapter or, lacking an address on such assessment petition, at his or her address as it appears on the last equalized assessment roll or supplement roll of the county of Orange, whichever is more current. Service by mail of a notice or other document in the manner provided for herein shall be effective on the date of mailing and the failure of any person to receive such notice or document shall not affect the validity of such notice or document.
(Ord. 1616 § 1, 2002)
Proceedings for levying assessment installments in lieu of the payment of sewer system connection fees shall be initiated by a petition filed in the office of the director of public works. Such petition shall describe the premises to be connected to the city sewer system by street address or other method sufficient to enable the director of public works to identify the location and boundaries of such premises, shall include a declaration that the premises are presently being served by a private sewer system consisting of a septic tank and leach field which will be abandoned at the time the premises are connected to the city sewer system, shall set forth the request of the petitioners for the city council to levy an assessment in lieu of payment of sewer system connection fees in the manner provided for by this chapter, and shall be signed by and set forth the mailing address of all persons owning an interest in the fee title to the premises. Such petition shall also be accompanied by a lot book guarantee issued by a title company showing fee title to the premises which are the subject of the petition vested in all persons having signed the petition, such other documents and data as may be required by the director of public works to prepare the report or otherwise carry out the duties of the director of public works provided for by this chapter, and a petition fee in an amount established by resolution of the city council based entirely on the estimated administrative costs incurred by the city for processing such petitions in the manner provided for by this chapter.
(Ord. 1616 § 1, 2002)
Following receipt of an assessment petition, the director of public works shall promptly cause a report to be made on the petition, and, following completion of such report, shall cause the petition and the report to be forwarded to the city clerk who shall schedule the petition and report for consideration by the city council at the first regular or adjourned regular meeting of the city council following the twentieth day after receipt of the petition and report. In the report of the director of public works, the following shall be set forth:
A. 
A description of the premises which are the subject of the petition both by legal description and assessor's parcel number;
B. 
The name and mailing address of all persons owning an interest in the fee title to the such premises;
C. 
A determination as to whether the premises are located in that part of the city sewer service area within the incorporated territory of the city or that part of the city sewer service area within the unincorporated territory of the county of Orange;
D. 
A computation of the total amount of the sewer system connection fees which would become due and payable in accordance with the provisions of Chapter 13.08 of this code at the time of connection of the premises to the city sewer system; and
E. 
A schedule of the assessment installments to be levied against the subject premises in order to pay all such sewer system connection fees, together with interest thereon, in ten annual installments, all at the time, in the amounts, and in the manner hereinafter provided by this chapter.
(Ord. 1616 § 1, 2002)
At least ten days prior to the scheduled date of the regular or adjourned regular meeting of the city council at which the assessment petition is scheduled for consideration, the director of public works shall cause notice of the time and place of such meeting and a copy of the report of the director of public works on the assessment petition to be served on all owners of an interest in the fee title to the premises which are the subject of the petition. In the notice of the time and place of the city council meeting, the director of public works shall include a statement of the right of each owner of an interest in the fee title to the premises which are the subject of the assessment petition to request the city council to convene a hearing on such assessment petition at the time of the city council meeting on same so that such property owner may be heard on the assessment petition and/or the amount of the assessment installments to be levied in lieu of payment of sewer system connection fees pursuant to the assessment petition, provided such property owner files a written request for such hearing with the city clerk prior to commencement of such city council meeting.
(Ord. 1616 § 1, 2002)
On the date and at the time of the city council meeting on the assessment petition, the city council shall consider the assessment petition, the report of the director of public works on the assessment petition and any other relevant matters bearing on the petition and/or the assessment installments to be levied in lieu of payment of sewer system connection fees pursuant to the assessment petition. However, where one or more of the persons owning an interest in the fee title to the premises which are the subject of the assessment petition has filed a written request to be heard on the petition in the manner and within the time provided by this chapter, the city council shall convene a hearing at the meeting at which the assessment petition is being considered for the purpose of considering such property owner's comments on the assessment petition and/or any objections of the property owner to the amount of the assessment installments to be levied in lieu of payment of sewer system connection fees pursuant to the assessment petition.
(Ord. 1616 § 1, 2002)
After considering an assessment petition and the report of the director of public works on the assessment petition at a city council meeting in the manner provided for by this chapter, the city council may, by resolution, grant the petition and levy assessment installments in lieu of payment of sewer system connection fees as requested therein if the city council finds that all owners of an interest in the fee title to the premises described in the petition have joined in executing the petition, that the premises are presently being served by a private sewer system consisting of a septic tank and leach field which will be abandoned at the time the premises are connected to the city sewer system, that levying assessment installments in lieu of payment of sewer system connection fees for the premises, either individually or in combination with other premises similarly connected to the city sewer system incident to the levy of assessment installments in lieu of payment of sewer system connection fees, will not seriously compromise the city's ability to fund any anticipated expansion of the city sewer system, and, where the premises are located in that part of the city sewer service area within the unincorporated territory of the county of Orange, that the county of Orange has entered into a joint powers agreement with the city which authorizes the city to levy such assessment installments on premises located within the unincorporated territory of the county of Orange.
In such resolution the city council shall describe the premises which are the subject of the petition both by legal description and by an assessor's parcel number, shall set forth the total amount of the sewer system connection fees which will become due and payable in accordance with the provisions of Chapter 13.08 of this code upon connection of such premises to the city sewer system, and shall order such sewer system connection fees, together with interest thereon, to be paid in ten annual assessment installments, as provided for in the report of the director of public works, together with any modifications thereto which are necessary to comply with the provisions of this chapter. Following adoption of such resolution, the city clerk shall cause copies of the resolution to be served on each owner of an interest in the fee title to the premises which are the subject of the resolution, shall execute an affidavit or declaration attesting to such service and shall transmit a certified copy of the resolution with such affidavit or declaration attached to the city manager. In addition, the clerk shall transmit a certified copy of such resolution to the director of finance/city treasurer.
(Ord. 1616 § 1, 2002)
Upon receipt of a certified copy of a resolution of the city council levying assessment installments in lieu of payment of sewer system connection fees, the city manager or his or her designee shall attach the affidavit or declaration of the city clerk attesting to service of the resolution in the manner provided by this chapter to the resolution and shall cause such resolution, with such affidavit or declaration attached, to be recorded in the official records of the county of Orange. After the date of such recordation, the assessments provided for by such resolution shall constitute a lien upon the premises which are the subject of the resolution which shall have the priority and effect of an assessment lien as provided for by Article 13, Chapter 4, Part 1, Division 2, Title 5 of the California Government Code (commencing with Section 53930) or any other law of the state of California applicable to assessment liens levied by a city.
(Ord. 1616 § 1, 2002)
Upon receipt of a certified copy of a city council resolution levying assessment installments in lieu of payment of sewer system connection fees, the director of finance/city treasurer shall transmit such resolution to the Orange County auditor/controller with the request that the assessment installments levied by the resolution be added to the county tax rolls at the time and in the manner provided therein. Thereafter, all assessment installments provided for in the resolution of the city council which become due in any year, together with all interest thereon, shall be payable in the same manner and at the same time as general taxes of the county on real property are payable, and such assessment installments and all interest thereon shall become delinquent at the same time and bear the same proportional penalty and interest after delinquency as do the general taxes of the county on real property.
(Ord. 1616 § 1, 2002)
Assessments in lieu of the payment of sewer system connection fees, including interest thereon, which are levied by resolution of the city council in the manner provided by this chapter, shall be levied in ten equal installments of principal and interest due and payable as follows:
Once the resolution levying the assessment installments has been adopted by the city council, assessment installments shall be due and payable commencing on November first of the calendar year in which the resolution was adopted and on November first of each year thereafter until all assessment installments have been paid in full, November first being the same date that county property taxes are due and payable under the laws of the state of California.
(Ord. 1616 § 1, 2002)
Interest on assessment installments in lieu of payment of sewer system connection fees, which are levied by resolution of the city council in the manner provided by this chapter, shall be computed on the basis of an interest rate equal to three percent of the total amount owed. Interest on each assessment installment shall begin to accrue from the date of the resolution levying the assessment, and shall be computed and collected annually up to the date each assessment installment is paid in full.
(Ord. 1616 § 1, 2002)
Assessment installments in lieu of payment of sewer system connection fees which are levied by resolution of the city council in the manner provided by this chapter may be prepaid at any time between the date of adoption of the city council resolution and the date the last assessment installment is due and payable by depositing with the treasurer-tax collector of the county of Orange a sum equal to the principal, interest and penalties due on any delinquent installments which were payable in a prior tax year, plus a sum equal to the principal and interest due on any assessment installments included on the assessment roll of the county of Orange for the current tax year, and by depositing with the city director of finance/city treasurer a sum equal to the unpaid principal of any remaining assessment installments, exclusive of any interest thereon. Upon prepayment of assessment installments in the manner provided for herein, the city director of finance/city treasurer shall request the Orange County auditor to remove all such assessment installments from the county tax rolls and shall also cause the assessment lien levied by the city council resolution to be released in the manner hereinafter provided by this chapter.
(Ord. 1616 § 1, 2002)
As a cumulative remedy in the event any assessment installment levied in the manner provided for by this chapter and/or any interest or penalties or other charges accruing thereon are not paid when due, the city council may, not later than four years after the due date of the last such installment, order that the same be collected by an action brought in the superior court to foreclose the lien thereof, all in the manner provided for by the Improvement Bond Act of 1915, as set forth in Part 14, Division 10 of the Streets and Highways Code.
(Ord. 1616 § 1, 2002)
Where all assessment installments levied in the manner provided for by this chapter have been paid in full, either by reason of the prepayment of such assessment installments or otherwise, the director of finance/city treasurer shall execute and record in the official records of the county of Orange a notice stating that the assessment lien levied by the city council resolution is being released.
(Ord. 1616 § 1, 2002)