Chapter 3.20
LOCAL IMPROVEMENT DISTRICTS1

Sections:

3.20.010    City engineer duties.

3.20.020    Proceedings initiation instrument – Certifications and determinations.

3.20.030    Assessment roll – Compilation – Hearing.

3.20.040    Assessment roll – Hearing action – Approval effect.

3.20.050    Assessment roll – Items included.

3.20.060    Assessments – Installment payments.

3.20.070    Bonds – Issuance – Form.

3.20.080    Bonds – Statute inclusion.

3.20.090    Bonds – Numbering – Regulations.

3.20.010 City engineer duties.

The city engineer is designated as the proper officer whose duty it shall be to make and submit to the city council the preliminary estimates and assessment roll for all municipal local improvement districts. (1957 code § 8.02.010.)

3.20.020 Proceedings initiation instrument – Certifications and determinations.

Upon the filing of a petition or upon the adoption of a resolution, as the case may be, initiating a proceeding for the formation of a municipal local improvement district, the city engineer shall certify, by written report to the city council, the following:

A. An estimate to be made of the cost and expense of the proposed improvements, together with all papers and information in his possession touching the proposed improvement;

B. A description of the boundaries of the district;

C. A statement of what portion of the cost and expense of the improvement should be borne by the property within the proposed district;

D. A statement in detail of the local improvement assessments outstanding and unpaid against the property in the proposed district;

E. A statement of the aggregate actual valuation of the real estate including 25 percent of the actual valuation of the improvements in the proposed district according to the valuation last placed upon it for the purposes of general taxation.

If the proceedings were initiated by petition, the city engineer shall also determine the sufficiency of the petition and whether the facts set forth therein are true. If the petition is found to be sufficient and in all proceedings initiated by resolution of the city council, a diagram shall be filed with the city engineer of the lots, tracts and parcels of land and other property which will be specially benefited by the proposed improvements and the estimated amount of the cost and expense thereof to be borne by each lot, tract, parcel of land or other property; provided, that no such diagram shall be required where such estimates are on file in the office of the city engineer, together with a detailed copy of the preliminary assessment roll and the plans and assessments map of the proposed improvement. (1957 code § 8.02.010.)

3.20.030 Assessment roll – Compilation – Hearing.

The city clerk, with the assistance of the city engineer and city attorney, shall, immediately after the acceptance of any local improvement provided for by ordinance of the city, either by the council or the city engineer, proceed to assess, apportion and distribute the total cost and expense of the improvement upon the property within the district as provided by law, and to that end shall compile an assessment roll therefor and shall file the same in the office of the city clerk after certifying the same to be such roll, and the clerk shall report the same to the council at the next regular meeting. The council shall thereupon fix a day for hearing upon such roll in the manner provided by law, and the clerk shall thereupon give proper notice of such hearing, and all objections to such roll not made within the time and in the manner provided by law shall be conclusively presumed to have been waived. (1957 code § 8.02.030.)

3.20.040 Assessment roll – Hearing action – Approval effect.

At the time fixed for hearing on any assessment roll, the council shall consider same with the objections thereto and determine the same as required by law, or may give new notice of hearing and thereupon consider the same with objections and determine the same as provided by law, and after any such roll is finally corrected and adjusted it shall be by ordinance of the city approved and thereupon the assessments therein provided for shall be a lien upon the property therein described, which shall take precedence over all other liens except a lien for general taxes, and such assessments shall be collected and the lien thereof enforced in the manner provided by law, and same shall draw interest at the rate provided in the ordinance ordering the improvement or any supplemental ordinance; provided that no interest shall be charged provided assessments are paid within the period provided by law after same are placed with the finance director for collection and notice for payment given. (1957 code § 8.02.040.)

3.20.050 Assessment roll – Items included.

The assessment roll shall include all items of cost provided by law, and in the event that warrants or other evidence of indebtedness drawing interest against such district are issued previous to the time when assessments are payable as provided by law, such roll shall include interest at the rate for such warrants or indebtedness computed on the amount of such interest-bearing indebtedness to a period 30 days after the date for hearing on the roll, and in the event that it is proposed to issue local improvement bonds such roll shall include such interest for an additional period of 20 days; provided, that persons paying assessments within the 30-day period within which no interest, penalty or costs are charged shall be entitled to a deduction of interest not accrued as aforesaid. The object of the above provision is to assure enough to the local improvement fund to pay the bonds, with interest, and full payment of warrants. (1957 code § 8.02.050.)

3.20.060 Assessments – Installment payments.

In the event bonds are to be issued for any local improvement, the assessment unpaid after the payment period provided by law shall be divided into equal annual installments, the number of which shall be two less than the number of years the bonds shall run, which assessment shall bear interest at the rate fixed by the ordinance ordering the improvement or general ordinance, from first day after lapse of payment period aforesaid, the first installment to become due and payable one year from such date. (1957 code § 8.02.060.)

3.20.070 Bonds – Issuance – Form.

A. Whenever bonds are authorized by ordinance ordering any local improvement or by any other ordinance relative thereto, the mayor and city clerk are authorized and directed to issue such local improvement bonds as provided by law in the aggregate amount of the assessments remaining unpaid at the time of such issuance, with interest considered as aforesaid, which bonds shall be issued after the lapse of the 20-day period provided by law, which bonds shall be in the following form:

LOCAL IMPROVEMENT BOND OF THE CITY OF AUBURN, STATE OF WASHINGTON

No. ___________     $_________

The City of Auburn, a city of the third class, situate in the County of King, State of Washington, hereby promises to pay to ___________ or bearer, ___________ Dollars, lawful money of the United States, with interest thereon at the rate of _____ per cent per annum, out of the fund established by ordinance No. ______, known as and designated upon the Finance Director’s record as Local Improvement Fund, District No. ______    , and not otherwise, both principal and interest payable at the office of the Finance Director of said City.

Coupon is hereto attached for each installment of interest to accrue hereon, and said interest shall be paid only on presentation and surrender of such coupon to the Finance Director, but in case this bond is called for payment before its maturity, each and every coupon representing interest not accruing at the time this bond is payable under such call, shall be void. This bond is payable on or before the _____ day of _____________ A.D., 19_____ and is subject to call by the Finance Director of said City, whenever there is sufficient money in said fund to pay same and all unpaid bonds of the series of which this bond is one which are prior to this bond in numerical order after the payment of interest on all unpaid bonds of said series.

The City Council, of Auburn, King County, Washington, under date of ______, 19___ caused an ordinance to be passed providing for the improvement of __________ by ___________ which ordinance is number ____ of the ordinances of the City of Auburn, and pursuant to said ordinance and supplemental ordinances and resolutions (let a contract to ____________________ or made such improvement under supervision of the City Council) and thereafter on the _____ day of ___________, 19____, passed an ordinance No. _____ providing for the issuance of bonds for the payment of the cost and expense of such improvement and fixing the date thereof, and this bond is issued pursuant to said ordinances and general ordinances of the City of Auburn and the laws of the State of Washington, and the holder of this bond shall look only to said fund for the payment of principal and interest of this bond.

The call for payment of this bond or any bond of a series of which this is one, shall be made by the Finance Director by publishing the same in the official newspaper of said City as required by law, and when such call is made for payment of this bond, it will be paid on the day fixed in said notice as the day of payment thereof, and on said day interest on this bond shall cease.

This bond is one of a series of ____ bonds aggregating in all the sum of _________     dollars, issued in payment of said local improvement and secured by the assessments levied therefor, all of which bonds are subject to the same terms and conditions as herein expressed.

In witness whereof the said City of Auburn has caused these presents to be signed by its Mayor and attested by its Clerk and sealed with its corporate seal this ____ day ___________ A.D., 19____.

THE CITY OF AUBURN

Attest _________      By___________ Mayor

B. There shall be attached to each bond coupons representing the interest thereon, payable annually for the period for which bonds shall run, substantially as follows:

No. ___________     $_________

On or before the ____ day of _________ 19__, the City of Auburn promises to pay to the bearer, at the office of its Finance Director ________ Dollars, being one year’s interest due on that date on bond No. ____ of the bonds of Local Improvement Fund No. _____ of said City of Auburn, and not otherwise, provided that this coupon is subject to all the terms and conditions contained in the bond to which it is annexed, and if said bond is called for payment before maturity hereof, then this coupon shall be void.

_____________________

Mayor

_____________________

City Clerk

(1957 code § 8.02.070.)

3.20.080 Bonds – Statute inclusion.

A copy of the following provision of the law shall be plainly written, printed or engraved on each such bond, either on the face or back thereof:

Neither the holder nor owner of any bond issued under the authority of this act shall have any claim therefor against the City by which the same is issued, except from the special assessment made for the improvement for which such bond was issued, but his remedy in case of nonpayment, shall be confined to the enforcement of such assessments. A copy of this section shall be plainly written, printed or engraved on each bond so issued.

(1957 code § 8.02.080.)

3.20.090 Bonds – Numbering – Regulations.

Bonds shall be numbered consecutively beginning with one, and shall be in such denominations as the council may fix by motion, and shall be secured by the assessments in the local improvement district as provided by law, and shall not be issued in excess of the cost and expense of the improvement and interest as aforesaid. Interest coupons may have printed thereon a facsimile of the signature of the officers hereinbefore authorized to execute same, and may not in fact be signed by them. Bonds may be called at the interest-paying date as provided by law. (1957 code § 8.02.090.)


1

For statutory provisions on local improvements, see Chs. 35.43 – 35.56 RCW; for provisions on local improvements in code cities, see Ch. 35A.43 RCW.