Chapter 14.06
IMPACT FEE DEFERRAL

Sections:

14.06.020    Authority.

14.06.040    Single-family residential deferral program.

14.06.020 Authority.

This chapter is enacted pursuant to the city’s police powers and the impact fee statutes as codified in RCW 82.02.050 through 82.02.100. [Ord. 4741 § 1, 2016.]

14.06.040 Single-family residential deferral program.

A.    Notwithstanding any other provision of Chapter 14.02 or 14.04 ECC, an applicant for a building permit for a single-family detached or attached residence may request a deferral of the full impact fee payment until final inspection or 18 months from the date of original building permit issuance, whichever occurs first. The following requirements shall apply to any application for deferral of impact fees:

1.    An applicant for deferral must request the deferral no later than the time of application for a building permit. Any request not so made shall be deemed waived.

2.    For the purposes of this deferral program, the following definitions apply:

a.    “Applicant” includes an entity that controls the applicant, is controlled by the applicant, or is under common control with the applicant.

b.    “Single-family residence” has the same meaning as “single-family dwelling” as set forth in ECC 15.130.040, D definitions, “Dwelling, Single-Family.”

3.    To receive a deferral, an applicant must:

a.    Submit a deferred impact fee application and acknowledgement form for each single-family attached or detached residence for which the applicant wishes to defer payment of the impact fees;

b.    Pay the applicable administrative fee of $50.00;

c.    Grant and record at the applicant’s expense a deferred impact fee lien in a form approved by the city against the property in favor of the city in the amount of the deferred impact fee that:

i.    Includes the legal description, tax account number, and address of the property;

ii.    Requires payment of the impact fees to the city prior to final inspection or 18 months from the date of original building permit issuance, whichever occurs first;

iii.    Is signed by all owners of the property, with all signatures acknowledged as required for a deed and recorded in Kittitas County;

iv.    Binds all successors in title after the recordation; and

v.    Is junior and subordinate to one mortgage for the purpose of construction upon the same real property granted by the person who applied for the deferral of impact fees.

B.    The amount of impact fees deferred shall be determined by the fees in effect at the time the applicant applies for a deferral.

C.    Prior to closing of the first sale of the property for which the impact fees were deferred or 18 months from the date of original building permit issuance, the applicant may pay the deferred amount in installments, with no penalty for early payment.

D.    If closing of the first sale of the property for which impact fees were deferred occurs within 18 months of the building permit issuance, payment of all deferred impact fees must take place prior to or upon closing, and the seller shall be strictly liable for payment of all deferred impact fees to the city at that time. The city bears no responsibility for determining whether the seller and the buyer have contractually agreed for the buyer to pay the deferred fees, and the city reserves the right to institute legal proceedings against the seller, if necessary, to collect any deferred impact fees that remain unpaid after closing. In addition, the city may withhold issuance of a certificate of occupancy, final inspection approval, or equivalent certification required for occupancy of the residence until all impact fees have been paid in full.

E.    If closing of the first sale of the property for which impact fees were deferred does not occur within 18 months of the building permit issuance, then all deferred impact fees shall become immediately due and owing to the city, and the applicant shall be strictly liable for payment of all deferred impact fees to the city at that time. If the applicant fails, upon request by the city, to immediately pay all deferred impact fees pursuant to this chapter, then the city may foreclose on the lien in the manner provided for in Chapter 61.12 RCW.

F.    Upon receipt of final payment of impact fees deferred under this section, the city shall execute a release of deferred impact fee lien for each single-family attached or detached residence for which the impact fees have been received. The applicant, or property owner at the time of release, shall be responsible for recording the lien release at his or her expense.

G.    The extinguishment of a deferred impact fee lien by the foreclosure of a lien having priority does not affect the obligation to pay the impact fees as a condition of final inspection, certificate of occupancy, or equivalent certification, or at the time of closing of the first sale.

H.    Each applicant for a single-family attached or detached residential construction permit, in accordance with his or her contractor registration number or other unique identification number, is entitled to annually receive deferrals under this section for the first 20 single-family residential construction building permits. [Ord. 4741 § 1, 2016.]