Chapter 3.72
PARK IMPACT FEES

Sections:

3.72.010    Findings and purpose.

3.72.020    Definitions.

3.72.030    Fee imposed, applicability.

3.72.040    Exemptions.

3.72.050    Park impact fee program elements.

3.72.060    Fee calculation methods.

3.72.070    Fee collection.

3.72.080    Fee adjustments.

3.72.090    Park impact fee accounts and refunds.

3.72.100    Processing.

3.72.110    Other authority.

3.72.120    Appeals.

3.72.010 Findings and purpose.

The City Council of the City of Issaquah finds and determines that growth and development activity in the City will create additional demand and need for park facilities in the City, and the Council finds that growth and development activity should pay a proportionate share of the cost of such facilities needed to serve the growth and development activity. Therefore, pursuant to the Growth Management Act (Chapter 36.70A RCW), and RCW 82.02.050 through 82.02.100, which authorize cities to impose and collect impact fees to partially fund public facilities to accommodate new growth, the Council adopts this chapter to impose park impact fees for park and recreational facilities. The provisions of this chapter shall be liberally construed in order to carry out the purposes of the Council in establishing park impact fees. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.010).

3.72.020 Definitions.

A. “Affordable housing” means housing is considered “affordable” to a family if it costs no more than 30 percent of the family’s income. The income groups that are the focus of affordable housing are the low and moderate income families.

1. Low Income Group. A family earning between zero (0) and 50 percent of the King County median household income.

2. Moderate Income Group. A family earning between 50 percent and 80 percent of the King County median household income. “Median income” means the median income for the Seattle MSA (King County), as most recently determined by the Secretary of Housing and Urban Development (HUD) under Section 8(f)(3) of the United States Housing Act of 1937, as amended, or if programs under said Section 8(f)(3) are terminated, median income determined under the method used by the Secretary prior to such termination.

B. “Average unfunded cost” means that portion of the average cost of facilities which the City cannot foreseeably finance from any and all public revenue sources available to it based on a multi-year fiscal projection found in the Capital Facilities Element of the Comprehensive Plan.

C. “Capital Facilities Element” means that Capital Facilities Plan adopted by the City Council as part of the City’s Comprehensive Plan, and its amendments.

D. “Comprehensive Plan” means the City of Issaquah Comprehensive Plan adopted by Ordinance No. 2061 on April 17, 1995, including any adopted amendments.

E. “Conditions of approval,” as they apply to park impact fee evaluations, means those conditions necessary to ensure that the proposed development will not cause the level of service for parks to fall below the standards adopted in the Comprehensive Plan. The conditions of approval shall be binding upon the approval of any permit application for which this chapter is applicable as described in IMC 3.72.030.

F. “Development” means any construction, reconstruction or expansion of a building, structure, or use, any change in use of a building or structure or any changes in the use of land, that requires review and approval of a development permit.

G. “Development permit” includes, but is not limited to, a building permit, administrative site development permit, site development permit, short plat application, preliminary plat application, or project rezone application, or any written authorization from the City which authorizes the commencement of development.

H. “Director” means the Director of the Planning Department, or his/her designee.

I. “Financial commitment” means any form of binding and enforceable financial obligation that is acceptable to the City, and provided to the City at the time of development approval.

J. “Park and recreational facilities” means those capital facilities identified as park and recreational facilities in any of the following documents:

1. The Capital Facilities Element of the City of Issaquah Comprehensive Plan;

2. The Parks, Open Space and Recreation Element of the City of Issaquah Comprehensive Plan; and

3. The Parks Impact Fee Rate Study dated November 22, 1999, attached to Ordinance No. 2257 as Exhibit A and incorporated herein by reference as if set forth in full.

K. “Park impact fee” means the payment of money imposed upon development as a condition of approval of a development permit to pay for public facilities needed to serve new growth and development, and that is reasonably related to the new development that creates additional demand and need for facilities, that is a proportionate share of the costs of the facilities, and that is used for facilities that reasonably benefit the new development. “Park impact fee” does not include a reasonable permit or application fee.

L. “Level of service (LOS)” means the relationship between park facilities and service provision within the City, as specified in the City’s Comprehensive Plan.

M. “Proportionate share” means that portion of the cost of public facility improvements and facilities that are reasonably related to the service demands and needs of new development. The proportionate share will be calculated by the methods required by RCW 82.02.060, and as set forth in the Parks Impact Fee Rate Study attached to Ordinance No. 2257 as Exhibit A, and hereby incorporated by reference as if set forth in full.

N. “Service area” means the geographical area in which a defined set of park facilities provide service to development within the area. For the purposes of this chapter the service area shall be the entire area within the City limits of Issaquah. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.020).

3.72.030 Fee imposed, applicability.

There is imposed, and shall be collected, from every person who applies for a development permit, a park impact fee for each new dwelling unit proposed in the following amounts:

Single-Family Unit = $3,147.00

Multifamily Unit = $2,189.00

The provisions of this chapter apply to all applications for development permits made on, and after the effective date of the ordinance codified in this section. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.030).

3.72.040 Exemptions.

The following developments are exempt from the requirements of this chapter:

A. Affordable Housing. An applicant proposing a development of affordable housing, which includes low and moderate income, as defined in IMC 3.72.020, shall not be assessed a park impact fee as follows:

1. As a condition of receiving an exemption under this section, the owner shall execute and record in King County’s real property title records a City-drafted lien, covenant, or other contractual provision against the property that provides that the proposed housing unit or development will continue to be used for low or moderate income housing and remain affordable to those households for a period of not less than 30 years. The lien, covenant, or other contractual provision shall run with the land and apply to subsequent owners and assigns in the event that the housing unit(s) are exempted.

2. Any claim or request for an exemption under this section shall be made no later than the time of application for a building permit. If a building permit is not required for the development, then the claim shall be made when the first development permit is applied for. Any claim not made when required by this section shall be deemed waived.

B. Accessory Units. An applicant proposing the development of an accessory unit shall not be assessed a park impact fee.

C. Change of Use. An applicant proposing a development involving a change of use and/or structure that has no greater impact than the existing use shall not be assessed a park impact fee.

D. City Projects. An applicant proposing the development of a City project shall not be assessed a park impact fee.

E. Home Occupations. An applicant proposing the development of a home occupation shall not be assessed a park impact fee.

F. Pending Development Permit. An applicant shall not be assessed a park impact fee if 1 or more of the following has occurred:

1. The City and applicant have signed a park mitigation agreement for the development at issue prior to the effective date of the ordinance codified in this chapter; or

2. The applicant has already provided, or been required to provide as a condition of approval, park mitigation for the development at issue prior to the effective date of the ordinance codified in this chapter; or

3. The applicant has submitted a complete building permit application, as defined by the Land Use Code (Chapter 18.02 IMC), prior to the effective date of the ordinance codified in this chapter; or

4. The applicant has already been assessed a park impact fee for the same development. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.040).

3.72.050 Park impact fee program elements.

A. The City shall impose and collect park impact fees on every development permit within the service area, except as provided in IMC 3.72.040, Exemptions.

B. Any park impact fee imposed shall be reasonably related to the impact caused by the new development and shall not exceed a proportionate share of the cost of park and recreational facilities that are reasonably related to the new development.

C. The park impact fee imposed may include costs for park and recreational facility improvements previously incurred by the City to the extent that new development will be served by the previously constructed improvements; provided, that such fee shall not be imposed to correct any system improvement deficiencies.

D. The park impact fee imposed for any development shall be calculated and determined by the procedures established by this chapter and based on the methods set forth in the Parks Impact Fee Rate Study most recently adopted by City ordinance and incorporated herein by reference as if set forth in full.

E. Applications for a change of use shall receive credit based on the existing use. This credit is calculated by deducting the fee amount of the existing use from the fee of the proposed use.

F. In computing the fee applicable to a given development, credit shall be given for the fair market value, measured at the time of dedication, for any dedication of land for, improvements to, or new construction of any park and recreational facilities that are identified in the Capital Facilities Element and that are required by the City as a condition of approving the development.

G. Park impact fees shall be used for park and recreational facilities that will reasonably benefit the new development, and only those park and recreational facilities addressed by the City’s Capital Facilities Element of the Comprehensive Plan. (Ord. 2524 § 2, 2008; Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.050).

3.72.060 Fee calculation methods.

All data and other information necessary to determine impact fee amounts will be made available to the public upon request. Data such as park needs, and facility improvement projects and costs, and related fee schedules will be updated as necessary. Forms and procedures will be established administratively. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.060).

3.72.070 Fee collection.

A. At the time of issuance of a building permit, the park impact fee shall be calculated based on the park impact fee schedule established in the Park Impact Fee Rate Study most recently adopted by City ordinance and referenced in IMC 18.10.260, SEPA – Policies, and incorporated herein by reference as if set forth in full. No building permit shall be issued until the impact fee has been paid in full by the applicant; provided, that payment of fees may be phased if the building permits for the development are also phased. The park impact fee shall be collected by the City, and maintained in a separate account, as required by IMC 3.72.090. Park impact fees may be paid under protest in order to obtain a building permit.

B. Park impact fee rates shall be updated annually using the following procedures:

1. The Director shall use the National Construction Cost Index to calculate annual inflation adjustments in the impact fee rates. The impact fees shall not be adjusted for inflation should the index remain unchanged.

2. The indexed impact fee rates shall be calculated in January, or as soon thereafter as the latest index information is published by National Construction Cost Index, and shall become effective immediately thereafter. A copy of the indexed impact fee rates shall be provided to the City Council but the indexed rates shall become effective without further Council review.

3. The City Council shall review the park impact fee rates prior to December 31, 2010, and every 2 years thereafter, to determine whether or not a new park impact fee rate study should be prepared. If this review does not occur, the City shall continue to collect impact fees at the rate in effect, but shall not index the park impact fees for subsequent years until the required review by the City Council occurs. (Ord. 2524 § 2, 2008; Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.070).

3.72.080 Fee adjustments.

A. Fees calculated by the City may be adjusted by the Director, in any of the following circumstances:

1. The applicant demonstrates that a park impact fee assessment was improperly calculated; or

2. The applicant provides studies and data that, when considered, suggest that adjustment of the fee would be appropriate; or

3. Unusual circumstances exist which, when considered, suggest that imposition of the standard fee would be unfair.

B. Any appeal of the decision of the City with regard to park impact fee amounts shall follow the process for the appeal of the underlying development permit, as set forth in the Issaquah Land Use Code, and IMC 3.72.120. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.080).

3.72.090 Park impact fee accounts and refunds.

A. Park impact fee receipts shall be earmarked specifically and retained in a special interest bearing account established by the City solely for park impact fees. All interest shall be retained in the account and expended for the purpose or purposes for which said fees were imposed. Annually, the City shall prepare a report on the source and amount of all park impact fees collected, interest earned, and the park and recreational facilities that were financed in whole or in part by said fees.

B. Park impact fees shall be expended by the City only in conformance with the Capital Facilities Element of the Comprehensive Plan.

C. Park impact fees shall be expended or encumbered by the City for a permissible use within 6 years of receipt by the City, unless there exists an extraordinary or compelling reason for fees to be held longer than 6 years. Such extraordinary or compelling reasons shall be identified in written findings by the City.

D. The current owner of property on which a park impact fee has been paid may receive a refund of such fees if the City fails to expend or encumber the fees within 6 years of receipt of the fees by the City on park facilities intended to benefit the development for which said fees were paid. In determining whether park impact fees have been encumbered, such fees shall be considered encumbered on a first in, first out basis. The City shall notify potential claimants by first-class mail deposited with the United States postal service at the last known address of the claimants.

E. An owner’s request for a refund must be submitted to the City in writing within 1 year of the date the right to claim the refund arises or the date that notice is given, whichever date is later. Any park impact fees that are not expended or encumbered by the City in conformance with the Capital Facilities Element within these time limitations, and for which no application for a refund has been made within this 1 year period, shall be retained and expended consistent with the provisions of this section. Refunds of park impact fees shall include interest earned on such fees.

F. Should the City seek to terminate any or all park impact fee requirements, all unexpended or unencumbered funds, including interest earned, shall be refunded pursuant to this section. Upon the finding that any or all fee requirements are to be terminated, the City shall place notice of such termination and availability of refunds in a newspaper of general circulation at least 2 times and shall notify all potential claimants by first-class mail to the last known address of claimants. All funds available for refund shall be retained for a period of 1 year. At the end of 1 year, any remaining funds shall be retained by the City, and must be expended by the City consistent with the provisions of this chapter. The notice requirements set forth above shall not apply if there are no unexpended or unencumbered balances within the account or accounts being terminated.

G. An applicant may request and shall receive a refund, including interest earned on the park impact fees, when:

1. The applicant does not proceed to finalize the development; and

2. No impact on the City has resulted. “Impact” shall be deemed to include cases where the City has expended or encumbered the park impact fees in good faith prior to the application for refund. In the event that the City has expended or encumbered the fees in good faith, no refund shall be forthcoming. However, within a period of 3 years, the same or subsequent owner of the property proceeds with the same or substantially similar development activity, the owner shall be eligible for a credit. The owner must petition the City and provide receipts of park impact fees paid by the owner for a development of the same or substantially similar nature on the same property or some portion thereof. The City shall determine whether to grant a credit, and such determinations may be appealed by following the procedures set forth in IMC 3.72.120.

H. Interest due upon the refund of park impact fees required by this chapter shall be calculated according to the average rate received by the City on invested funds throughout the period during which the fees

were retained. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.090).

3.72.100 Processing.

The City shall determine any applicable park impact fees as a normal part of processing a development permit. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.100).

3.72.110 Other authority.

Nothing in this chapter is intended to limit the City’s authority under the State Environmental Policy Act or any other source. (Ord. 2461 § 2, 2006; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.110).

3.72.120 Appeals.

Refer to IMC 18.04.250 to 18.04.260 regarding appeals. (Ord. 2461 § 2, 2006; Ord. 2301 § 5, 2001; Ord. 2290 § 3, 2000; Ord. 2257 § 1, 1999. Formerly 18.17.120).