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HomeMy WebLinkAboutOrd 11-08 Dub Rch East Side Storm Drain Dist ORDINANCE NO. 11 - 08 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********** AMENDING ORDINANCE NO. 06-07 WHICH MADE FINDINGS, ADOPTED A LOCAL DRAINAGE PLAN, AND CREATED THE DUBLIN RANCH EAST SIDE STORM DRAIN BENEFIT DISTRICT, A LOCAL BENEFIT DISTRICT TO LEVY AND COLLECT CHARGES, AS A CONDITION OF DEVELOPMENT, TO REIMBURSE DEVELOPERS WHO CONSTRUCT AND INSTALL DRAINAGE FACILITIES THAT BENEFIT PROPERTIES OTHER THAN THEIR OWN RECITALS A. On April 17, 2007, the City Council adopted Ordinance No. 06-07, which made findings, adopted a local drainage plan, and created the Dublin Ranch East Side Storm Drain District, a local benefit district to levy and collect charges, as a condition of development, to reimburse developers that construct and install drainage facilities that benefit properties other than their own properties. B. Under the authority of the Subdivision Map Act, and in particular Government Code sections 66485 through 66489, the City required the developer of Dublin Ranch to oversize certain storm drain facilities ("the Improvements") to provide adequate capacity for other properties within the relevant drainage shed; the Improvements were completed on or before January 1,2005. C. By so doing, the City obligated itself to establish a mechanism to reimburse the developer for the portion of the capacity in excess of that required for the Dublin Ranch project, plus an amount attributable to interest. D. Ordinance No. 06-07 established such a mechanism, and it requires the owners and developers of property within the area benefited by the Improvements to pay the City a specified benefit charge to allow the City to reimburse the developer of the Dublin Ranch property for the costs of constructing the oversized improvements. E. Ordinance No. 06-07, in accordance with the Map Act provisions, also includes an annual adjustment to the benefit charges to account for interest following the adoption of the ordinance; however, the benefit charges set forth in Ordinance No. 06-07 did not account for interest between the time of completion of the Improvements and the date of adoption of Ordinance No. 06-07. F. The purpose of this amendment to Ordinance No. 06-07 is to provide a mechanism to adjust the benefit charges to account for interest in the period between the completion of the Improvements (January 1,2005) and the adoption of Ordinance No. 06-07. G. The City Council hereby finds that the development of property in the Benefit District identified in the Engineer's Report would require construction of the Improvements, and the charges imposed on properties by Ordinance No. 06-07, as amended by this ordinance, are fairly apportioned within the area on the basis ofthe benefits conferred and costs incurred. Ord No. 11-08, Adopted 3/04/08, Item 4.14 Page 1 of3 THE DUBLIN CITY COUNCIL DOES ORDAIN AS FOLLOWS: SECTION 1: AMENDMENT TO SECTION 5 OF ORDINANCE NO. 06-07. Section 5 of Ordinance No. 06-07 is amended to read as follows: "SECTION 5: OBLIGATIONS IMPOSED. Upon the approval of a Land Use Entitlement for any Benefited Property in the District, the owner, developer, or other person with an interest in such property shall be required, as a condition of approving the Land Use Entitlement, to pay the applicable benefit charges for the property, as set forth in Figure 6 of the Engineer's Report as thereafter adjusted for interest in the manner set forth below. Payment for a Benefited Property within the Benefit Area shall be required at the time the City approves any final or parcel map on that property or at the time the City issues a building permit on that property, whichever is earlier. To account for interest during the period between the completion of the Improvements and the adoption of this Ordinance, the charges listed in Figure 6 of the Engineer's Report shall be increased by amounts that would have been applied, using the interest adjustment procedure described below, if the charges had been adjusted for interest each July 1 st following the January 1, 2005, completion date of the Improvements. These amounts are as follows: 1.87% for the July 1, 2005, adjustment; 3.42% for the July 1, 2006, adjustment; and 4.94% for the July 1, 2007, adjustment. Following the first such increase, each increase shall be applied to the previously adjusted benefit charge. Beginning with the interest adjustment to be effective July 1, 2008, the interest-adjusted benefit charges shall be increased automatically at the beginning of each fiscal year by the rate of return that the City earns from its Local Agency Investment Fund ("LAIF"). The annual increases will be calculated as follows: a) On or about each July 1st, the City Finance Department will prepare a schedule setting forth the revised Benefit Charges for the particular Fiscal Year. Notwithstanding the foregoing, if the schedule has not been prepared for a particular fiscal year, the applicable fee shall nonetheless be based on the adjusted amount. b) The adjusted Benefit Charges shall be determined by multiplying the Benefit Charge from the previous fiscal year by the average return earned by the State of California Local Agency Investment Fund (LAIF), calculated using the average of four (4) quarters ending the previous March 31 st. (LAIF Quarterly rates are typically not available until one month following the end of the quarter.) c) Example. The following example of the interest adjustment calculation is for illustrative purposes only: 1. Determination ofInterest Adjustment Rate July 1, 2007. AIF QUARTER ENDING une 30, 2006 Se tember 30, 2006 ecember 31, 2006 arch 30, 2007 VERAGE 4 QUARTERS LAIF QUARTERLY RATES .53% .93% 5.11 % 5.17 % .94 % Ord No. 11-08, Adopted 3/04/08, Item 4.14 Page 2 of3 2. Amounts owed as described in section 5 would be increased July 1,2007, by 4.94% provided they were paid prior to June 30, 2008. Unpaid amounts would be adjusted again each July 1 st in the same manner." SECTION 10: EFFECTIVE DATE AND POSTING. This Ordinance shall take effect and be in force thirty (30) days from and after the date of its passage. The City Clerk of the City of Dublin shall cause this Ordinance to be posted in at least three (3) public places in the City of Dublin in accordance with Section 36933 of the Government Code of the State of California. PASSED, APPROVED AND ADOPTED this 4th day of March, 2008, by the following vote: AYES: Councilmembers Hildenbrand, Oravetz, Sbranti and Scholz, and Mayor Lockhart NOES: None ABSENT: None ABSTAIN: None (b 4~~ //~;~ . ( ..... ~4 /'4- LJi .yor ATTEST: ~L I-U Deputy City Clerk Ord No. 11-08, Adopted 3/04/08, Item 4.14 Page 3 of3