At the option of the city council, a proponent may be allowed to enter into a recovery contract with the city providing for partial reimbursement to the proponent, or its assignee, of costs of regional capital improvements required by this chapter, including design, grading, paving and installation of streets, curbs, gutters, storm drainage, sidewalks, street lighting, traffic controls and other similar improvements required by the street standards of the city. Such contracts shall be governed by the following provisions:
(1) Within 30 days after the improvements are accepted by the city and a bill of sale/warranty is filed with respect to the same, the proponent of the recovery contract shall submit a request for the same, using a form supplied by the city, together with supporting documentation showing all costs incurred in the project.
(2) An assessment area shall be formulated based upon a determination by the city as to which parcels of real estate adjacent to the street improvements would be required by this chapter to make similar improvements at the time development is proposed for said parcels.
(3) The reimbursement share of all property owners in the assessment area shall be a pro rata share of construction and contract administration costs of the improvement project. The city shall determine the reimbursement share by using a method of cost apportionment which is based upon the benefit to each property owner from the project. There shall be no reimbursement to the proponent for the share which is allocated to its property, nor for any contributions paid by the city.
(4) A preliminary determination of area boundaries and assessments, along with a description of the property owner's rights and options, shall be forwarded by certified mail to the property owners of record within the proposed assessment area. If any property owner requests a hearing in writing within 20 days of the mailing of the preliminary determination, a hearing shall be held before the city council, notice of which shall be given to all affected property owners. The city council's ruling shall be determinative and final.
(5) The contract, upon approval by the city council, shall be recorded in the records of the Snohomish County auditor within 30 days of such approval. The recorded contract shall constitute a lien against all real property within the assessment area which did not contribute to the original cost of the project improvements.
(6) If, within a period of 15 years from the date the contract was recorded, any property within the assessment area applies for development rights which implement the requirements of this chapter, the lien for payment of said property's proportionate share shall become immediately due and payable to the city as a condition of receiving development approval.
(7) All assessments collected by the city pursuant to a recovery contract, less the city's administrative charge, shall be paid to the original proponent or its personal representative, successors or assigns within 30 days after receipt by the city. The city's administrative charge for each collection is set forth in MMC §
14.07.005.
(Ord. 2852 § 10 (Exh. A), 2011)