Duvall City Zoning Code

The purpose of this chapter is to ensure that new development contributes its fair share toward public facilities necessary to serve growth, consistent with Revised Code of Washington (RCW) Chapter 82.02.050 through 82.02.110. The city council finds that:

A.

New growth and development create additional demand and need for public facilities.

B.

The city is authorized to impose impact fees to fund system improvements reasonably related to such development.

C.

Impact fees are one of several financing tools available to the city and shall be used in combination with other funding sources.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Impact Fee: Payment imposed on development to fund public facilities necessitated by growth; must be reasonably related, proportionate, and benefit the development. Excludes permit or application fees (RCW 82.02.090).

B.

Public Facilities: Streets, parks, fire, school, or other capital improvements serving growth.

C.

"Proportionate Share" and "System Improvements" as defined in RCW 82.02.090.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Mandatory Exemptions. The following shall be exempt from impact fees:

1.

Replacement of a structure with a new structure of the same size and use, where no additional impacts on public facilities result.

2.

Alteration, expansion, enlargement, remodeling, rehabilitation, or conversion of an existing dwelling unit where no additional units are created, and the use is not changed.

B.

Permissive Exemptions. The city council may, by resolution or ordinance, exempt or reduce impact fees for:

1.

Development of low-income housing, as defined by state or federal programs.

2.

Early learning facilities licensed under RCW 43.216.

3.

Other development activities that provide a broad public purpose, as determined by the city council.

C.

Requirement to Backfill. When a partial exemption is granted for up to 80 percent of the calculated impact fees for early learning facilities or low-income housing, there is no explicit requirement to pay the exempted portion of the cost from public funds. In contrast, a full impact fee waiver requires the remaining portion of the exempted fee to be paid from public funds other than impact fee accounts.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Impact fees collected for parks, transportation, and schools shall only be used in accordance with RCW 82.02.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Schools. School impact fees shall be assessed and collected from the applicant at the time of building permit issuance, using the fee schedule in effect at the time of the building permit application.

B.

Parks. Park impact fees shall be collected from the applicant at the time the building permit is issued, using the fee schedule then in effect or as determined in a development agreement.

C.

Transportation. Traffic impact fees shall be collected from the applicant at the time the building permit is issued, using the fee schedule then in effect or as determined in a development agreement.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Impact fees imposed under this chapter shall be outlined in a fee schedule adopted by resolution of the City Council. The fee schedule shall be based on the City's adopted Capital Facilities Plan. It shall be designed to ensure that new development pays only its proportionate share of the cost of system improvements.

B.

In accordance with RCW 82.02.060(6), the fee schedule shall include proportional adjustments that result in lower impact fees for smaller housing units. Housing unit size may be determined based on dwelling square footage, number of bedrooms, or other impact-related characteristics supported by the City's rate study.

C.

Accessory Dwelling Units (ADUs) shall be subject to an impact fee equal to fifty percent (50%) of the impact fee applicable to the primary dwelling unit on the site, unless otherwise exempt under state law.

D.

The City may update the fee schedule by resolution as needed to reflect updated project lists, cost estimates, revenue sources, or required proportionality adjustments, without amendment of this chapter.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Impact fees shall be calculated in accordance with the City Council's adopted fee schedule and consistent with RCW 82.02.060.

B.

The method for calculating impact fees shall account for past and future payments reasonably anticipated to be made by new development to pay for particular system improvements in the form of user fees, debt service payments, taxes, or other revenue sources that are earmarked for or proratable to the specific system improvement. Adjustments and credits for such revenues are incorporated in the City's Transportation and Capital Facilities Plans.

C.

The Riverview School District (District) is responsible for preparing and maintaining its own impact fee formula and Capital Facilities Plan in accordance with RCW 82.02.060 and RCW 82.02.070. The City adopts the District's school impact fee by reference through its fee schedule and collects the payment on behalf of the District.

D.

An applicant may submit an independent fee calculation if the applicant believes that the fee schedule does not accurately reflect the proposed development's impact. The calculation shall document the basis on which it was made. The City may also prepare an independent fee calculation where an existing category does not adequately represent a proposed development type.

E.

The City shall consider any correctly submitted independent fee calculation, but it is not required to accept documentation determined to be inaccurate, unreliable, or inconsistent with City methodology. Based on the information available, the City may adjust the impact fee as appropriate to reflect the specific characteristics of the proposed development.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

An applicant may request a credit for the value of dedicated land for system improvements and construction of system improvements if the land or improvements are identified in the current city or school district capital facilities plan (RCW 82.02.070).

A.

Credits in General:

1.

Shall be allowed only to the extent necessary to offset impact fees that would otherwise be charged to the development and are permitted only for identified, system-wide improvements.

2.

Park credits apply only to park fees, transportation credits only to transportation fees, and school credits only to school fees. Credits are non-transferable between lots or projects.

B.

Park and Transportation Credits:

1.

For preliminary plats, site plans, development agreements, or conditional use permits, the credit is determined at approval and documented in the written decision approving the application. After physical construction and before or with the final plat application, applicants shall submit cost documentation to the Public Works Director, who may request additional information and will notify the applicant in writing of the approved credit.

2.

For other development, credits shall be determined before building permit issuance, after construction, or land dedication. Applicants shall submit cost documentation to the Public Works Director, who may request additional information and will notify the applicant in writing of the approved credit granted.

3.

No credit shall be given for:

a.

Project improvements; or

b.

Right-of-way dedications solely for direct access, except when additional right-of-way is required as a system improvement. Credit shall apply only for the value of the additional right-of-way dedicated.

C.

School impact fee credits shall be determined by agreement between a developer and the school district.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Impact fee revenues shall be explicitly earmarked and deposited in special interest-bearing accounts. The fees received shall be prudently invested in a manner consistent with the investment policies of the City and/or Riverview School District.

B.

Three separate impact fee accounts are established for the fees collected pursuant to this chapter: the parks impact accounts, which the City will manage; the transportation impact account, which the City will manage; and the schools impact account, which the School District will manage. Funds withdrawn from these accounts must be used in accordance with the provisions of this chapter. Interest earned on the impact fees shall be retained in each of the accounts and expended for the purposes for which the impact fees were collected.

C.

Annually, the Finance Director shall provide a report to the City Council on the park and transportation impact fee accounts showing the source and amount of all money collected, earned, or received, and the public improvements that were financed in whole or in part by impact fees.

D.

Annually, the District shall submit a report to the City on school impact fees showing the source and amount of all money collected, earned, or received, and capital or system improvements that were financed in whole or in part by impact fees.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Parks and Transportation.

1.

Impact fees shall be expended or encumbered within ten years of receipt, unless the City Council or School Board identifies in written findings an extraordinary and compelling reason or reasons for the City or school district to hold the fees beyond the ten years. Under such circumstances, the Council or School Board shall establish the time within which the impact fees shall be expended or encumbered. Fees are considered expended or encumbered on a first-in, first-out basis.

2.

The City shall notify potential claimants by first-class mail at the last known address.

3.

Owners must submit a written request for a refund of the fees to the Finance Director within one year of the right to claim the refund or the date that notice is given, whichever is later. Fees not claimed within this period may be retained and expended on the designated public facilities.

4.

Refunds shall include any interest earned.

5.

Upon termination of any impact fee program component, unexpended or unencumbered funds, including interest, shall be refunded following the above procedure. The City shall provide notice in a newspaper of general circulation at least twice and by mail to potential claimants. Funds not claimed within one year shall be retained and expended on the designated facilities.

6.

A developer may request and shall receive a refund, including interest earned on the impact fees, when the developer does not proceed with the development activity and no impact has resulted.

B.

Schools. Refunds of school-related impact fee credits are determined and paid by the school district.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

In accordance with RCW 82.02.060, the Transportation Impact Fees established by this chapter include adjustments to account for other public revenues, including taxes, that are anticipated to fund system improvements which will serve new development.

B.

The school impact fees adopted by the City and imposed on behalf of the Riverview School District include credits for the portion of capital facility costs funded through voter-approved bonds or other local revenue sources, as documented in the District's Capital Facilities Plan.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

The Mayor is authorized to execute, on behalf of the City, an interlocal agreement for the collection and reporting of school impact fees, provided that such interlocal agreement complies with the following:

A.

The school district shall establish a school impact fee account with the office of the King County Treasurer. The account shall be invested prudently in accordance with the school district's investment policies.

B.

The City shall collect the fee payments made payable to the school district and transfer the payments for deposit into the school district's impact fee account.

C.

The school district shall submit the following materials to the City:

1.

An annual update of the school district's capital facilities plan, including an updated fee calculation when appropriate.

2.

An annual report on the school district's impact fee account, showing the source and amount of all money collected, earned, or received, and the public improvements that were financed in whole or in part by impact fees.

D.

The impact fee schedule set out by resolution shall be reviewed and updated by the City Council as needed.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

Nothing in this chapter shall preclude the City from requiring the applicant or the proponent of a development activity to mitigate adverse environmental impacts of a specific development pursuant to SEPA, based on ecological documents accompanying the underlying development approval process; provided that the exercise of this authority is consistent with the provisions of RCW 82.02.050.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Except where an applicant elects to participate in the impact fee deferral program provided in DMC 14.58.170, the City shall not issue a building or manufactured/mobile home placement permit until all applicable impact fees have been paid.

B.

An applicant may pay an impact fee imposed under this chapter under protest to obtain permit issuance. Any such protest shall be made in writing at the time of payment and shall preserve the applicant's right to appeal as provided in this chapter.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Applicability. Park, transportation, and school impact fees for single-family dwelling units (attached and detached) may be deferred until final inspection or eighteen (18) months after building permit issuance, whichever occurs first, provided the applicant submits a deferral application in accordance with this section.

B.

Definitions. For this program, an "Applicant" includes any entity that controls, is controlled by, or is under common control with the Applicant.

C.

Administrative Fees. The City shall collect an administrative fee for each deferral application in accordance with the adopted fee resolution.

D.

Enrollment. To enroll, an applicant must:

1.

Submit a deferred impact fee application and acknowledgement form for each dwelling unit.

2.

Pay the applicable administrative fee.

3.

Grant and record, at the applicant's expense, a deferred impact fee promissory note in a form approved by the City and the Riverview School District, which:

a.

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

b.

Requires payment before final inspection or within eighteen (18) months of building permit issuance, whichever comes first.

c.

Is signed and acknowledged by all owners and recorded with the King County Recorder's Office.

d.

Binds successors in title.

e.

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

4.

Provide the City with a copy of the promissory note.

E.

Number of Deferrals. An applicant may apply for up to twenty (20) deferrals per calendar year.

F.

Impact Fee Calculation. The total deferred amount shall be determined by the impact fee rates in effect at the time the deferral application is submitted.

G.

Payment.

1.

Deferred fees must be paid in whole before final inspection or within eighteen (18) months of permit issuance, whichever occurs first. Early payment is permitted without penalty.

2.

The City shall withhold final inspection until fees are paid. Upon payment, the City shall execute a promissory note release, which the applicant/property owner must record and provide a copy to the City.

a.

Foreclosure of a promissory note with priority does not relieve the obligation to pay impact fees as a condition of final inspection.

3.

If fees are not paid as required, the City may foreclose under Chapter 61.12 RCW.

a.

For unpaid school impact fees, if the City does not act within forty-five (45) days of notice from the Riverview School District, the District may initiate foreclosure proceedings.

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)

A.

Right of Appeal. Any applicant may appeal the City's determination of an impact fee, including the impact fee calculation, fee amount, or application of credits to the project.

B.

Procedure.

1.

Appeals shall be filed in writing with the City Clerk within fourteen (14) calendar days of the written impact fee determination. The appeal shall state the specific grounds and include supporting documentation.

2.

Appeals shall be heard by the Hearing Examiner, whose decision shall constitute the City's final administrative decision.

C.

Payment Under Protest. Impact fees shall be paid before a building permit is issued, even if an appeal is pending. Payment under protest preserves the applicant's right to challenge the fee.

D.

Refunds. If the appeal is granted, the City shall refund any overpayment of impact fees, with interest, consistent with RCW 82.02.

E.

Judicial Review. Any further appeal of the City's final decision shall be filed under the Land Use Petition Act (RCW 36.70C).

(Ord. No. 1344, § 1(Exh. A), 12-2-2025)