4-9-060 DEFERRAL OF IMPROVEMENT INSTALLATION PROCEDURES:

A. PURPOSE: (Reserved)

B. TEMPORARY (NINETY (90) DAY) OCCUPANCY PERMITS IN ADVANCE OF IMPROVEMENT INSTALLATION – BUILDING OFFICIAL DEFERRAL OF OFF- AND ON-SITE IMPROVEMENTS FOR OTHER THAN PLATS:

1. Applicability: A temporary occupancy permit may be granted by the Building Official, when the required improvements have not been deferred or installed and in the opinion of the Building Official are not necessary for life, safety or health, or structural integrity of the buildings on the site, and the improvements are to be installed and completed within ninety (90) days from the date of issuance of temporary occupancy permit. (Ord. 4348, 5-4-1992)

2. Decision Criteria: (Reserved)

3. Security Required: In all such cases, a certified or cashier’s check, letter of credit, set aside letter, or other acceptable security must be posted to the extent of one hundred fifty percent (150%) of the estimated cost of the improvements not installed and accepted. The amount of said security shall be provided by an estimate of the applicant together with supporting data from a reputable contractor or subcontractor and based upon full engineering plans. Such estimates shall be approved by the Building Official of the City; however, should the amount of the estimate be unacceptable to the City, the applicant shall be required to provide further estimates acceptable to the City. No temporary occupancy permit shall be granted until the security amount has been established following acceptable estimates.

4. Expiration: Said temporary occupancy permit shall be good for a period of not more than ninety (90) days. After improvements have been installed and approved by the City the security herein shall be released and the applicant may make application for a permanent occupancy permit.

5. Extension of Temporary Occupancy Permit Up to One Hundred Eighty (180) Days: Should extenuating circumstances or circumstances beyond the control of the applicant prevent the installation of such on-site or off-site improvements, the Building Official may extend the temporary occupancy permit to a total maximum of one hundred eighty (180) days. (Ord. 4348, 5-4-1992)

C. COMMUNITY AND ECONOMIC DEVELOPMENT ADMINISTRATOR’S DEFERRAL OF SUBDIVISION IMPROVEMENTS OR DEFERRAL OF OTHER ON- AND OFF-SITE IMPROVEMENTS BEYOND TEMPORARY OCCUPANCY PERMIT: (Ord. 5450, 3-2-2009; Ord. 5792, 4-25-2016)

1. Applicability: If a developer wishes to defer certain improvements listed in this Title until after obtaining a certificate of occupancy for any structures, or in the case of plats, final plat approval, the written application shall be made to the Administrator stating the reasons why such delay is necessary. (Ord. 4521, 6-5-1995; Ord. 5450, 3-2-2009)

2. Decision Criteria: (Reserved)

3. Security Required: Upon approval by the Administrator for such deferment, for good cause shown by the applicant, the applicant shall thereupon furnish security to the City in an amount equal to one hundred fifty percent (150%) of the estimated cost of the installation and required improvements. The decision of the Administrator as to the amount of such security shall be conclusive. (Ord. 4521, 6-5-1995; Ord. 5450, 3-2-2009)

4. Plans for Improvements Required: Should the Administrator grant the deferral of part or all of the necessary on-site improvements, then full and complete engineering drawings of the on-site improvements shall be submitted as a condition precedent to the granting of any deferral. (Ord. 3988, 4-28-1986; Ord. 5450, 3-2-2009)

5. Waiver of Requirement for Plans: The Administrator may waive requirement of construction plans for short plat improvement deferrals.

6. Expiration: Such security shall list the exact work that shall be performed by the applicant and shall specify that all of the deferred improvements shall be completed within the time specified by the Administrator, and if no time is so specified, then not later than one year. For plats, if no time is established, then not later than one year after approval of the final plat or one year after recording of the short subdivision. The security shall be held by the Administrative Services Department. (Ord. 4521, 6-5-1995; Ord. 5450, 3-2-2009; Ord. 5868, 12-11-2017)

7. Extension of Time Limit: The Administrator shall annually review the deferred improvements and the amount of the security. Should the Administrator determine that any improvement need not be installed immediately, then the Administrator may extend the deferral for an additional period of time up to an additional year. Any improvement deferred for five (5) years shall be required to be installed or shall be waived by the Administrator pursuant to RMC 4-9-250C, Waiver Procedures, unless the Administrator determines that it is more likely than not that the improvements would be installed within an additional five (5) year period of time, in which case the Administrator may continue to defer the improvements year to year subject to the other conditions contained in this Section. Should any improvement be initiated before the lapse of a deferral, and the work is diligently pursued, then the Administrator may extend the deferral period for a term equivalent to the time necessary to complete construction, but subject, however, to continuation of the security. At the same time as the granting of any additional deferral, the security for such deferral shall be reviewed and increased or decreased as the Administrator shall deem necessary, but shall remain in an amount equal to a minimum of one hundred fifty percent (150%) of the estimated cost of the installation of the deferred improvement. (Ord. 3988, 4-28-1986; Ord. 5450, 3-2-2009)

8. Acceptable Security: Security acceptable under this Section may be cash, letter of credit, set aside letter; provided, that the funds cannot be withdrawn, spent, or committed to any third party, or savings account assigned to the City and blocked as to withdrawal by the secured party without the City’s approval. Only if these security devices are unavailable to the applicant, or the applicant can show hardship, will the City accept a performance bond. Any security device must be payable to the City upon demand by the City and not conditioned upon approval or other process involving the applicant. Security must be unequivocally committed to the project being secured, and cannot be available for any other purpose. Any security that, according to its terms, lapses upon a date certain, will cause the deferral to lapse on that same date unless additional adequate substitute security has been posted prior to the termination date of the prior security. Each security document posted with the City must be approved by the City Attorney, whose decision as to the acceptability of the security shall be conclusive. (Ord. 4521, 6-5-1995)

9. Fee in Lieu of Required Street Improvements:

a. General: The provisions of this Section establish under what circumstances the requirements of this Chapter may be satisfied with payment of a fee in lieu of required street improvements.

b. Authority To Grant and Duration:

i. Application: If the proposed development of the subject property is an infill single family residential building permit or requires approval through a short plat approval described in the subdivision ordinance, a request for payment of a fee in lieu of street improvements may be considered under the provisions of this Section.

ii. Duration: If granted under an infill single family residential building permit or short plat review process, the authorization to pay a fee in lieu of street improvements is binding on the City for all development permits issued for that approval under the building code within five (5) years of the granting of the request for payment of a fee in lieu of street improvements. (Ord. 5798, 4-25-2016)

c. Standards: The City will not accept the applicant’s proposed payment of a fee in lieu of street improvements if the Administrator determines that it is in the City’s interest that the street improvements be installed abutting the subject property, taking into account such factors as the pedestrian safety impacts that result from the development. The City may accept payment of a fee in lieu instead of requiring installation of street improvements in the following circumstances:

i. There are no similar improvements in the vicinity and there is no likelihood that the improvements will be needed or required in the next five (5) years; or

ii. Installation of the required improvement would require substantial off-site roadway modifications; or

iii. The Administrator determines that installation of the required improvement would result in a safety hazard; or (Ord. 5450, 3-2-2009)

iv. Other unusual circumstances preclude the construction of the improvements as required.

d. Amount of Payment of Fee: In each instance where the City approves a proposed fee-in-lieu under the provisions of this Section, the amount of the fee-in-lieu is listed in the City of Renton Fee Schedule. Additional fee amounts will be determined on a case-by-case basis for other significant street elements, such as catch basins and curb ramps. (Ord. 5450, 3-2-2009; Ord. 5749, 1-12-2015; Ord. 5792, 4-25-2016)

e. Use of Funds: In each instance where the City accepts payment of a fee in lieu of installing a street improvement under the provisions of this Section, the City shall deposit those funds into a reserve account and expend the funds collected within ten (10) years of the date collected to fund other pedestrian safety improvements in reasonable proximity to where they were collected. Funds shall be collected and expended by grouped community plan areas as follows: West Hill, City Center, Cedar River; Talbot, Benson, Fairwood; Kennydale, Highlands, East Plateau; and Valley. (Ord. 5792, 4-25-2016)

f. No Further Obligation: In each instance where the City accepts payment of a fee in lieu of installing street improvements, the subject property will not be subject to participation in future street improvement costs (along the property frontage) unless redevelopment occurs that will generate more traffic trips than what was occurring at the property at the time of the payment of the fee in lieu of installation of street improvements. (Ord. 5170, 12-5-2005; Ord. 5792, 4-25-2016)

g. Cost Contribution Toward a City Capital Improvement Project for Properties in which Frontage Improvements Have Been Deferred by Restrictive Covenant: Where restrictive covenants have been recorded against a property, requiring the property owner to pay their fair share of street frontage improvements installed as part of a City capital improvement project and the City undertakes such capital improvement project, the owners of said properties shall pay the City an amount consistent with subsection C9d of this Section, Amount of Payment of Fee in Lieu of Street Improvements. This assessment must be paid in full within one year following notice from the City of such assessment, or the payment may be paid over a ten (10) year period, with three percent (3%) per annum interest on the unpaid balance. For payment over time, the owner shall receive a bill from the City for one-tenth (1/10) of the assessment plus interest. The first yearly payment must be paid within one year following the initial notice from the City of the assessment. Payments over time shall become a lien against the property. A notice of such lien specifying the charge, the period covered by the charge, and giving the address and property identification (PID) number shall be filed with the office of the King County Auditor. When the payment has been received by the City in full, a certificate of payment will be recorded with King County. (Ord. 5428, 11-17-2008)

10. (Repealed by Ord. 5170) (Ord. 4521, 6-5-1995)

11. Security Requirement Binding: The requirement of the posting of any security shall be binding on the applicant and the applicant’s heirs, successors and assigns. (Ord. 3988, 4-28-1986)

12. Record of Deferral: The Administrator shall note for the Department’s record the following information: the improvements deferred, amount of security or check deposited, time limit of security or check, name of bonding company, and any other pertinent information. (Ord. 4521, 6-5-1995; Ord. 5450, 3-2-2009)

13. Transfer of Responsibility: Whenever security has been accepted by the Administrator, then no release of the owner or developer upon that security shall be granted unless a new party will be obligated to perform the work as agreed in writing to be responsible under the security, and has provided security. In the instance where security would be provided by a condominium owners’ association or property owners’ association, then it shall be necessary for the owners’ association to have voted to assume the obligation before the City may accept the security, and a copy of the minutes of the owners’ association duly certified shall be filed along with the security.

14. Administrative Approval Required Prior to Transfer of Responsibility: The City shall not be required to permit a substitution of one party for another on any security if the Administrator, after full review, feels that the new owner does not provide sufficient security to the City that the improvements will be installed when required. (Ord. 5450, 3-2-2009)

15. Proceeding Against Security: The City reserves the right, in addition to all other remedies available to it by law, to proceed against such security or other payment in lieu thereof. In case of any suit or action to enforce any provisions of this code, the developer shall pay the City all costs incidental to such litigation including reasonable attorney’s fees. The applicant shall enter into an agreement with the City requiring payment of such attorney’s fees. (Ord. 4521, 6-5-1995; Ord. 5156, 9-26-2005; Ord. 5676, 12-3-2012; Ord. 5907, 12-10-2018)