The director is authorized to enter into latecomer agreements with property owners of real estate pursuant to Chapter 35.91 RCW as now exists or is hereafter amended. This chapter prescribes the regulations for exercise of this authority granted to the director.
The purpose of this chapter is to provide for the prorated recovery of the costs of installation for private, private and public, and public construction of PHUGA sewer system improvements through a charge to later users of the PHUGA sewer system improvements who benefit from the PHUGA sewer system improvements, but who did not previously contribute to the costs of those PHUGA sewer system improvements.
(Ord. 7-24 § 3 (Appx. A))
This chapter applies to PHUGA sewer system improvements, when the construction of the PHUGA sewer system improvements is the result of county ordinances or regulations that require these PHUGA sewer system improvements as a prerequisite to property development.
(Ord. 7-24 § 3 (Appx. A))
(1) 
Any developer using private funds to construct PHUGA sewer system improvements in the county may apply to the county for a latecomer agreement to recover a pro rata share of the costs of construction from property owners that will later connect to or use the PHUGA sewer system improvements made by the developer.
(2) 
An application for a latecomer agreement shall be made on forms developed by the department, and shall be accompanied by the application fee, administrative fee and recording fee as set forth in the PHUGA sewer system fee schedule. The application shall contain, at a minimum, the following information:
(a) 
A legal description of the developer's property;
(b) 
A legal description of the properties within the developer's proposed assessment reimbursement area, together with the name and address of the property owner of each property as shown in the records of the office of the assessor;
(c) 
Vicinity maps, stamped by a state of Washington licensed civil engineer or surveyor, depicting the developer's property, the proposed PHUGA sewer system improvements, and the proposed assessment reimbursement area;
(d) 
Statement from a contractor (as defined in JCC § 13.02.030) or civil engineer licensed by the state of Washington containing an itemized estimate of the total projected cost of construction of PHUGA sewer system improvements. Activities that may be included in the cost estimate are all costs solely associated with the design and construction of PHUGA sewer system improvements for the development. This includes elements that the county requires as part of installation of the PHUGA sewer system improvements, such as concrete panel replacements in the roadway or Americans with Disabilities Act-compliant ramps and their companion ramps. These elements may only be included in the total cost, however, if they would not otherwise be required but for the installation of the PHUGA sewer system improvements;
(e) 
The developer's proposed allocation of the cost of construction to the individual properties within the proposed assessment reimbursement area and the method used for such allocation;
(f) 
The developer's agreement to provide sufficient security to the PHUGA system utility and the county to ensure the installation of the PHUGA sewer system improvements and other performance under the latecomer agreement, as required by RCW 35.91.120(1)(a)(v); and
(g) 
The developer's agreement to reimburse the PHUGA system utility and the county for all of the costs associated with the installation of the PHUGA sewer system improvements, including but not limited to, engineering, legal, and administrative costs as required by RCW 35.91.120(1)(a)(vi).
(3) 
In addition to the latecomer application, the applicant shall apply for and obtain all necessary and required permits required for construction of the PHUGA sewer system improvements. The application shall meet all design standards and requirements applicable to the PHUGA sewer system improvements contained in this PHUGA sewer utility code, the PHUGA sewer manual, and the PHUGA sewer facility plan, as may be updated.
(4) 
The application for the latecomer agreement shall be made before the PHUGA sewer system improvements proposed for construction are approved by the director through the issuance of a right-of-way use or any permit under this PHUGA sewer utility code. Acceptance by the director shall mean, for the purposes of this section, the date the public facilities are conveyed to the county by a deed of conveyance or other equivalent written document.
(5) 
Within 30 days of receipt of the application for a latecomer agreement, the department shall provide the developer with written notice of whether the application is complete and, if incomplete, what must be done for the application to be considered complete. The developer shall respond in writing to a notice of incompleteness within 30 days and provide the information required to complete the application; or, if the developer cannot submit the required information within the 30-day period, the developer shall provide the department with a written explanation and suggest a date within 60 days that the requested information will be submitted. In their sole discretion, the director may grant an application for an extension of not more than 60 days to submit the required information. If the developer fails to meet the foregoing time frame, the director may, in their discretion, reject the application as untimely.
(6) 
The director may impose a minimum project size limit and a minimum cost threshold, among other criteria to establish eligibility of a developer to apply for a reimbursement agreement. The determination of the director shall be final.
(7) 
A latecomer agreement application shall not include improvement of a developer's abutting right-of-way.
(8) 
The director only may approve the application after determining that the PHUGA sewer system has the capability and capacity to service the proposed PHUGA sewer system improvements and development, in the sole discretion of the director.
(Ord. 7-24 § 3 (Appx. A))
(1) 
The director shall review all and approve the application for the PHUGA sewer system improvements if all the following criteria are met:
(a) 
The application is for PHUGA sewer system improvements, as defined in JCC § 13.02.160;
(b) 
The application is timely, complete and the application fee and administrative fee have been paid;
(c) 
The proposed PHUGA sewer system improvements are required by applicable federal, state, or local law to be constructed as a prerequisite to further property development; and
(d) 
The proposed PHUGA sewer system improvements are consistent with this PHUGA sewer utility code, the PHUGA sewer manual, development and building regulations, the comprehensive plan, and the PHUGA sewer facility plan, as updated.
(2) 
If any of the above criteria are not met, the director shall either condition approval as necessary in order for the application to conform to such criteria or deny the application. The final determination of the director shall be in writing.
(Ord. 7-24 § 3 (Appx. A))
Upon approval of a latecomer application, the department shall formulate a preliminary assessment reimbursement area and preliminary assessment amount for each real property included in the preliminary assessment reimbursement area as follows:
(1) 
The assessment reimbursement area shall be formulated based upon a determination of which parcels in the proposed area would require similar PHUGA sewer system improvements upon development or redevelopment or would be allowed to connect to or use the PHUGA sewer system.
(2) 
A pro rata share of the cost of the PHUGA sewer system improvements shall be allocated to each property included in the assessment reimbursement area based upon the benefit to the property owner. The method or methods used to calculate the allocation of the assessment may be either front footage, number of units, square footage, zone termini method, or other equitable method, as determined by the director.
(Ord. 7-24 § 3 (Appx. A))
(1) 
The director shall determine the assessment for parcels within the assessment reimbursement area by calculating the pro rata share of the cost of construction for each property which might be served by the PHUGA sewer system, and thus within the benefit area.
(2) 
The preliminary assessment reimbursement area and the preliminary assessment amounts formulated by the department shall be sent by certified mail to the developer and the property owners of record within the preliminary assessment reimbursement area. The notice shall contain:
(a) 
The assessment reimbursement area boundaries;
(b) 
The preliminary assessments; and
(c) 
A description of the property owner's rights and options under this chapter, including the right to request a public hearing before the hearing examiner with respect to inclusion within the area boundaries and assessments.
(3) 
Within 20 days of the mailing of the preliminary determination, the developer or any property owner within the preliminary assessment reimbursement area may request in writing that a hearing be held before the hearing examiner pursuant to Chapter 13.09 JCC to contest the preliminary assessment reimbursement area or the preliminary assessment amounts, or both.
(4) 
Notice of the hearing shall be given to the developer and all property owners within the preliminary assessment reimbursement area. The hearing before the hearing examiner shall be conducted as soon as reasonably practical subject to Chapter 2.30 JCC and the Hearing Examiner Rules of Procedure as currently enacted or as later amended.
(5) 
The hearing examiner shall conduct a public hearing and make a recommendation to the board of county commissioners. The report shall include findings of fact and conclusions of law, and the hearing examiner shall include with the recommendation a complete record of the proceedings.
(6) 
After considering the record, the hearing examiner's report, and public comment thereon, if any, the board of county commissioners may adopt, modify, or reject the hearing examiner's recommendations in whole or in part or it may render its own findings and conclusions.
(7) 
The board of county commissioners determination of the assessment reimbursement area and the assessment shall be determinative and final. In the event no written request for a hearing is received within the allotted time, the determination of the department shall be final.
(Ord. 7-24 § 3 (Appx. A))
Based upon the final determination of the preliminary assessment reimbursement area and the preliminary assessment as specified in JCC § 13.08.060(7), the department shall prepare a latecomer agreement, which shall be consistent with the requirements of this chapter and RCW 35.91.120.
(Ord. 7-24 § 3 (Appx. A))
(1) 
The completed latecomer agreement shall be mailed to the developer by certified mail. The developer shall sign and notarize the latecomer agreement and return an original copy to the department. If the latecomer agreement is not executed and returned to the department within 60 days of the date it was mailed to the developer, the latecomer agreement will become null and void. The director may consider an extension of this period by a showing of hardship or excusable neglect on the part of the developer.
(2) 
The director shall file the fully executed latecomer agreement in the official property records of Jefferson County, Washington, within 30 days of final execution of the latecomer agreement; provided, that the developer shall have an independent duty to review the Jefferson County auditor's records to confirm that the latecomer agreement has been properly and timely recorded. The reimbursement agreement and the survey of record reflecting the assessment reimbursement area or benefit area shall be recorded with the county auditor and shall include a listing of all parcels (by tax number) or portions of parcels that are within it. The developer shall bear all costs of recording.
(3) 
No latecomer agreement shall be effective as to any property owner who is not a party to the latecomer agreement unless the latecomer agreement has been recorded with the Jefferson County auditor. Recording of the latecomer agreement shall occur prior to connection to the PHUGA sewer system.
(4) 
Once the latecomer agreement and notice are recorded and mailed, the latecomer agreement and assessment shall be binding on all property owners of record within the assessment reimbursement area.
(Ord. 7-24 § 3 (Appx. A))
(1) 
After the latecomer agreement has been signed by all parties and all necessary permits and approvals have been obtained, including but not limited to a right-of-way use permit, pretreatment permit, sewer connection permit, the developer shall construct the PHUGA sewer system improvements and, upon completion, request final inspection and acceptance of the PHUGA sewer system improvements by the department subject to any required obligation to repair defects.
(2) 
Within 120 days of completion of construction, the developer shall provide the department with documentation of the actual costs of the PHUGA sewer system improvements and a certification that all of the costs have been paid. The final cost of the PHUGA sewer system improvements shall be reviewed against the preliminary assessments established by the director. Upon a showing of good cause, the agreement shall be modified to include cost overruns up to a maximum of 10 percent. In the event the actual costs are less than the director's estimate by 10 percent or more, the director shall recalculate the charges and reduce them accordingly. For any revisions of costs under this section, the director shall cause a revised list of charges to be recorded with the Jefferson County auditor, with a notice to title on each property within the assessment reimbursement area.
(3) 
After the requirements of subsections (1) and (2) of this section have been satisfied, the developer shall provide the director with an appropriate deed of conveyance or other equivalent written document transferring ownership of the PHUGA sewer system improvements to the county, together with any sewer easements necessary to ensure the county's right of access for maintenance of the PHUGA sewer system improvements. Title to the PHUGA sewer system improvements shall be conveyed to the county free of all encumbrances.
(4) 
No connection to, or other use of, the PHUGA sewer system improvements will be permitted until the county has officially accepted the construction and title to the PHUGA sewer system improvements has been conveyed to the county.
(5) 
All construction, inspection and testing shall conform to the PHUGA sewer manual and this chapter.
(Ord. 7-24 § 3 (Appx. A))
The developer shall be responsible financially for all work by the developer found to be defective within one year after the date of acceptance of the PHUGA sewer system improvements by the county.
(Ord. 7-24 § 3 (Appx. A))
(1) 
Upon recording, the latecomer agreement and assessment shall be binding upon all properties located within the assessment reimbursement area. Assessments shall be paid to the county in one lump sum, including interest through the date of payment, as follows:
(a) 
Assessments for PHUGA sewer system improvements shall be paid prior to issuance of the first applicable permit which authorizes connection to or use of the PHUGA sewer system improvements. If a benefitting parcel subdivides, consolidates, or otherwise adjusts its lot boundary, the pro rata share encumbrance will still apply to the entire parent parcel. The first connection from the parent parcel that triggers the reimbursement payment will be required to pay the full pro rata share.
(b) 
The developer shall pay an administrative fee for processing latecomer assessments as specified in the PHUGA sewer system fee schedule.
(2) 
The county shall remit the amounts due to the developer within 60 days of receipt.
(3) 
When the assessment for PHUGA sewer system improvements and all latecomer agreement charges required by JCC § 13.08.140 have been paid in full, the director shall record a certification of payment that will release the property from the latecomer agreement.
(4) 
The latecomer agreement charges required by JCC § 13.08.140 shall be in addition to all other charges, including connection charges, system development charges, and any other charges which must be paid by person applying for connection to the PHUGA sewer system.
(Ord. 7-24 § 3 (Appx. A))
The department shall, upon the application of any property owner within the assessment reimbursement area, segregate the assessment. The application shall be on a form developed by the department. The segregation shall be based upon the same factors applied when the assessments were originally established. The property owner seeking segregation of the assessment shall pay the segregation charge and recording fees as listed in PHUGA sewer system fee schedule.
(Ord. 7-24 § 3 (Appx. A))
(1) 
Each latecomer agreement shall provide for reimbursement for a period no longer than 20 years from the date of its recording, unless earlier terminated as provided in subsection (2) of this section. The latecomer agreement may provide for extensions as specified in RCW 35.91.020(4).
(2) 
The county may terminate a latecomer agreement if the developer fails to commence or complete construction within the time and manner required in the right-of-way use permit or sewer connection permit for the PHUGA sewer system improvements. In the event of termination, the director shall record a release of latecomer agreement in the Jefferson County auditor's office.
(Ord. 7-24 § 3 (Appx. A))
(1) 
The developer shall pay the following charges:
(a) 
Application Fee. The developer shall be responsible for payment of the application fee as set forth in the PHUGA sewer system fee schedule for each latecomer agreement. The application shall be on a form developed by the department;
(b) 
Administrative Fee. The department may charge a fee for administering the latecomer process equal to one percent of the estimated cost of construction;
(c) 
Recording Fee. For every separate parcel or property within the developer's proposed assessment reimbursement area, the county shall charge the most current Jefferson County auditor's recording fees per parcel;
(d) 
Cost of Security. The cost of sufficient security to the PHUGA system utility and the county to ensure the installation of the PHUGA sewer system improvements and other performance under the latecomer agreement, as required by RCW 35.91.120(1)(a)(v); and
(e) 
All Costs of Installation. All of the costs associated with the installation of the PHUGA sewer system improvements, including but not limited to, engineering, legal, and administrative costs as required by RCW 35.91.120(1)(a)(vi).
(2) 
The application fee shall be paid upon application for a latecomer agreement. All remaining latecomer agreement charges shall be paid prior to, and as condition of, the mailing of the preliminary determination notices.
(Ord. 7-24 § 3 (Appx. A))
(1) 
With the exception of the determination of the preliminary assessment reimbursement area and preliminary assessment as provided by JCC § 13.08.060, a developer or property owner of a property located within the assessment reimbursement area may appeal the interpretation, implementation, or decisions of the director concerning administration of this chapter to the hearing examiner as provided in this section and Chapter 13.09 JCC. The appeal must be filed within 20 days of the date of the action or decision being appealed, include a statement of claimed errors concerning the proposed assessment, and be accompanied by an appeal fee as set forth in the PHUGA sewer system fee schedule. Errors which are not set forth in writing and which do not adhere to the criteria listed below will not be considered. The appeal must conform to all requirements of Chapter 2.30 JCC and the Hearing Examiner Rules of Procedure as adopted.
(2) 
Appeal Criteria. Objections by a benefiting property owner to the recording of a potential assessment against their property do not constitute a valid appeal. Errors identified in an appeal must be related to cost, methodology for cost distribution, or benefit to the property as described below:
(a) 
Cost. If the benefiting property owner contests these costs, they must provide a basis for the claim discrepancy, such as an estimate from a contractor or other reliable source.
(b) 
Cost Methodology. If the benefiting property owner contests the cost methodology used, they have to show why it is not equitable and provide their suggested alternate method of assessment and the justification for its use in place of the method recommended by the director.
(c) 
Benefit. If a benefiting property owner contests benefit, they must provide a statement or documentation on why a particular parcel has no future potential benefit.
(Ord. 7-24 § 3 (Appx. A))
(1) 
In processing and imposing obligations in this chapter for reimbursement of developers, the county in no way guarantees payment of assessments by latecomers, enforceability of assessments, or enforceability of the latecomer agreement or the accuracy of the amount(s) thereof against such persons or property. Nor will the offices or finances of the county be used for enforcement or collection of latecomer obligations beyond those duties specifically undertaken by the county herein. The PHUGA sewer utility and the county shall not be responsible for locating any beneficiary or survivor entitled to any benefits by or through a latecomer agreement.
(2) 
Every two years from the date the latecomer agreement is executed, a developer entitled to reimbursement under this chapter shall provide the department with information regarding the current contact name, address, and telephone number of the person, company, or partnership that originally entered into the latecomer agreement. If the developer fails to comply with the notification requirements of this subsection within 60 days of the specified time, then the department may collect any reimbursement funds owed to the developer under the latecomer agreement. Those funds shall be deposited in a sewer utility capital fund.
(Ord. 7-24 § 3 (Appx. A))
(1) 
The county may participate in financing a PHUGA sewer system improvement project authorized, improved, or constructed in accordance with this chapter as authorized under RCW 35.91.020 and shall have the right of reimbursement as described therein.
(2) 
The county on its own initiative may solely perform PHUGA sewer system improvement projects authorized, improved, or constructed in accordance with this chapter as authorized under RCW 35.91.060 and shall have the right to reimbursement as described therein. In such situations, the county shall take action by ordinance to establish the reimbursement area and reimbursement allocations.
(Ord. 7-24 § 3 (Appx. A))