Any person (including the City or any other legal entity) who constructs an eligible public improvement may file an application with the City for the creation of a reimbursement district. An eligible public improvement is one that:

1. Has a cost of at least ten thousand dollars ($10,000.00);

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. Provides or is capable of providing a service or benefit to a specific area of land that is significantly greater than the benefit to the general public;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. Provides or is capable of providing a service or benefit that is essential to the future development of property owned by persons who did not participate in the cost of the improvement in an amount equal to the proportionate benefit that the improvement will have on that property;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

4. By its nature or location, lends itself to a fair and equitable allocation of the cost of the improvement; and

(Ord. No. O-02-0035, Enacted, 10/08/2002)

5. Includes but is not necessarily limited to sewer lift stations, storm water detention basins, bridges, and similar public improvements. A reimbursement district is not available for street improvements or utility lines (including water, sewer and storm sewer), although persons wishing to connect to such lines may still be required to pay the City’s nonparticipating connection fee. More than one public improvement may be considered for inclusion in a reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

An application for a reimbursement district shall be submitted to the City no later than sixty (60) days after completion of the public improvement and acceptance thereof by the City. However, the City Council may waive this requirement provided that the City Council finds good cause for the delay. An application to create a reimbursement district shall include the following:

1. A description of the location, type, and size of the public improvement for which reimbursement is requested.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. An estimate of the cost of the improvement as evidenced by bids, projections or other similar information as may be requested by the City. The estimate of the cost shall be based on the lowest of at least three responsible bids although the applicant shall not be required to hire the lowest responsible bidder. Less than three bids may be accepted if the applicant demonstrates that it is not reasonably feasible to obtain three bids. The actual cost of the public improvement must be proved to the satisfaction of the City by receipts, invoices or other similar documents after completion of construction.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. A description of the properties sought to be included within the reimbursement district including the following information:
   1. A map showing the location of all property sought to be included in the reimbursement district.
   2. The names and mailing addresses (as shown on the records of the Utah County Recorder) of the owners of each parcel to be included in the reimbursement district.
   3. The size in square feet of each parcel to be included in the reimbursement district.
   4. A legal description of each parcel and the entire area to be included within the reimbursement district.
   5. Any other information that the City may reasonably request in order to determine the suitability of establishing a reimbursement district or the proper apportionment of the costs of the public improvement among the properties included within the reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

4. Information showing how the public improvement will benefit or provide service to all of the parcels to be included in the reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

5. The estimated date of completion of the public improvement.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

6. An application fee in an amount established by resolution of the City Council.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

7. A proposed methodology for allocating a share of the cost of the public improvement among the parcels within the proposed reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The Planning Commission shall consider the request for a reimbursement district and shall provide its recommendation to the City Council. The City Council shall consider the application to create a reimbursement district in a public hearing. Notice of the hearing before the City Council shall be given to the applicant and to the owners of all property located within the proposed district at least ten (10) days prior to the date of the public hearing. Notice shall be deemed sufficient if made by personal service or regular mail to the addresses of the property owners listed in the records of the Utah County Recorder. Notice by mail is deemed effective on the date the notice is mailed. Failure to receive actual notice shall not invalidate any action of the City Council relative to the creation of a reimbursement district. The applicant shall provide the City with proof of service of all required notices.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

After the public hearing, the City Council may, but shall not be obligated to, approve the creation of a reimbursement district if it finds the following:

1. That the applicant proposes to construct an eligible public improvement as defined in Section 22-22-1;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. That the nature, type and size of the improvement is reasonable considering the need of all of the properties that the improvement is intended to serve;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. That the estimated cost of the improvement is reasonable; and

(Ord. No. O-02-0035, Enacted, 10/08/2002)

4. That considering all of the circumstances, the creation of a reimbursement district is fair and equitable and promotes the public health, safety and welfare.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

If the City Council approves the reimbursement district, the City Council shall by resolution establish the properties to be included within the district, the duration of the district and the reimbursable amount. The resolution shall also establish a methodology for calculating the reimbursement fees that shall apply to property in the district. The method of assessment may include but is not limited to frontage, zone, area, lot, impervious area, or any other criteria that the City Council deems equitable.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The reimbursement district shall be deemed created as of the date that the City adopts the resolution. However, the creation of the reimbursement district shall be conditioned upon the timely and proper completion of the improvement and acceptance of the improvement by the City. The public improvement must be properly completed and approved by the City within two (2) years after the resolution creating the reimbursement district. If the public improvement has not been completed and accepted by the City within this time, the reimbursement district shall be deemed automatically dissolved and the applicant shall have no further rights under the reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The amount of the reimbursement fee applicable to property in the reimbursement district shall be set in the sole discretion of the City Council and may be less than that requested by the applicant. In determining the appropriate reimbursement fee, the City Council shall consider the reasonable cost of the improvement including construction and land costs and other expenses directly related to the completion of the improvement. The City may also consider the expected useful life of the improvement, the necessity of the improvement for development of the parcels in the district, prior contributions by property owners, the proportionate benefit received by each parcel in the district compared to the benefit received by all parcels served by the improvement, the intensity of use of the improvement by each parcel served by the improvement, and any other factors that the City Council deems appropriate. The amount to be reimbursed shall be reduced by the amount of any grants or other funding for the improvement received from any governmental or quasi-governmental entity. In no event shall the total amount of the reimbursement fees exceed the actual cost of the improvement. No reimbursement fees shall be collected from property owned by the applicant. If the scope of the project is altered during construction in order to respond to events or circumstances that arise during construction, the City Council may increase the amount of reimbursement by not more than ten percent (10%) without notice to the affected property owners.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

In determining the duration of the district, the City Council shall consider the expected useful life of the improvement, the cost of the improvement, the expected cost of maintenance of the improvement by the City, the level of benefit provided to the properties in the district from the improvement, and other factors that the City Council may deem appropriate. However, the right to reimbursement shall not extend beyond ten (10) years from the date the district is created.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City Council shall authorize the City Manager to enter into a reimbursement agreement with the applicant that is consistent with the provisions of the resolution. The reimbursement agreement shall at a minimum, contain the following provisions:

1. That the public improvement will meet all applicable City standards;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. That the applicant will guarantee the quality of the improvement for a period of not less than twelve (12) months after written acceptance by the City;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. That the amount of reimbursement shall not exceed the amount established by the City Council resolution;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

4. That the City shall be entitled to retain an administrative fee equal to eleven percent (11%) of all reimbursement fees collected by the City, or at least one hundred dollars ($100) out of each separate fee collected, whichever is greater;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

5. That the applicant will defend, indemnify and hold the City harmless from any and all losses, claims, damage, judgments or other costs (including attorney fees) arising as a result of or related to the establishment of the reimbursement district;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

6. That the applicant acknowledges and agrees that the City cannot guarantee the collection of the reimbursement fee or the enforceability of the reimbursement district and that the applicant agrees to hold harmless the City for noncollection of the reimbursement fees for any reason.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

7. That the applicant has no vested rights to reimbursement and that the applicant agrees and acknowledges that the City Council may dissolve or modify the provisions of the reimbursement district at any time for the reasons set forth in Section 22-22-16.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

8. That the provisions of this Article govern the establishment and administration of the reimbursement district and are by reference made a part of the agreement.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

9. That in the event that any reimbursement fee becomes due and remains uncollected, the City may assign the City’s right to collect the fee to the applicant and thereby be relieved of any obligation to collect the fee.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City shall mail notice of the creation of the reimbursement district to all property owners within the district. The notice shall include a copy of the resolution and a brief explanation of when the property owner is obligated to pay the reimbursement fee and the amount thereof.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City Recorder shall cause notice of the formation of the reimbursement district to be filed in the office of the Utah County Recorder in order to provide notice to potential purchasers of property within the district. However, failure to make such recording shall not affect either the lawfulness of the resolution nor the obligation to pay the reimbursement fee. Said recording shall not create a lien.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City shall be entitled to retain an administrative fee equal to eleven percent (11%) of all reimbursement fees collected by the City, or at least one hundred dollars ($100) per parcel, whichever is greater. The applicant for a reimbursement district shall also be required to reimburse the City for all costs of providing the notices required under this Article including staff time. The City may require payment of the estimated cost of providing the notices prior to forwarding an application to the City Council for consideration.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

Public improvements that are a part of a reimbursement district shall be dedicated to the City and shall remain the sole property of the City, or other appropriate public entity as determined by the City.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

A person applying for a permit related to property within a reimbursement district shall pay to the City, in addition to all other applicable fees and charges, the amount of the reimbursement fee established by the City Council, if within the time specified in the resolution establishing the district, the person applies for:

1. A building permit for a new building the use of which will cause either the utilization of or an increase in the use of the public improvement;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. Connection to the public improvement which results in the utilization of or an increase in the use of the public improvement; or

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. Any other City approval or action that will result in utilization of or an increase in the use of the public improvement.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City shall deliver all reimbursement fees collected by the City, less the City’s administrative fee, to the applicant who constructed and paid for the public improvement. Such payments shall be made by the City within ninety (90) days of the City’s receipt of the reimbursement fees. No reimbursement fees shall be collected or delivered to the applicant after the termination or dissolution of the reimbursement district. It shall be the responsibility of the applicant to keep the City apprised of the applicant’s current address. In the event of the applicant’s death or dissolution, it shall be the responsibility of the applicant’s heirs, successors or assigns to notify the City of the name and address of the person entitled to receive future reimbursements. The City shall not be responsible for locating any beneficiary, survivor, assign, or other successor in interest entitled to reimbursement. Any collected reimbursement fees that remain unclaimed after one (1) year from the expiration of the agreement shall be returned to the parties that made the payment, minus the eleven percent (11%) administrative fee. Any undeliverable funds shall become the property of the City.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The City may deny and/or revoke any permit and may also disconnect service or use of a public improvement for failure of a property owner within a reimbursement district to pay an applicable reimbursement fee or to comply with the requirements of the reimbursement district and this Article.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

All reimbursement fees are in addition to and are not meant to replace or limit any other existing fees or charges imposed by the City.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

Any subdivision plat that includes property subject to a reimbursement district shall contain a note identifying all parcels that are subject to the reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901

The creation of a reimbursement district shall not create any vested rights in the applicant or any other person. The City Council, in its sole discretion, may dissolve or amend, in whole or in part, the provisions of a reimbursement district at any time after a public hearing and thereby modify or terminate the applicant’s right to any further reimbursement for any of the following reasons:

1. The service provided by the improvement that is the subject of the district is no longer necessary for development of one or more of the parcels located in the reimbursement district;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

2. The improvement becomes obsolete or requires repairs equal to more than fifty percent (50%) of the original actual cost of the improvement or the City Engineer determines that the improvement has a useful life of less than ten years;

(Ord. No. O-02-0035, Enacted, 10/08/2002)

3. The failure of the applicant to comply with any of the provisions of the reimbursement agreement, the resolution, or this Article; or

(Ord. No. O-02-0035, Enacted, 10/08/2002)

4. The City Council determines that there is good cause to amend or dissolve the reimbursement district for any reason.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

5. The City may refund any reimbursement fees received by the City after the dissolution of the reimbursement district.

(Ord. No. O-02-0035, Enacted, 10/08/2002)

Effective on: 1/1/1901