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HomeMy WebLinkAboutORD 6168CITY OF RENTON, WASHINGTON ORDINANCE NO. 6168 AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, AMENDING SECTION 4-1-190.G OF THE RENTON MUNICIPAL CODE BY REPEALING CURRENT SUBSECTION 4-1-190.G.4 WHILE RESERVING THE SUBSECTION, AUTHORIZING CORRECTIONS, PROVIDING FOR SEVERABIUTY, AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, vacant commercial buildings contribute blight to their surroundings and are often a target of vandalism and other unlawful or deleterious behaviors; and WHEREAS, encouraging businesses to occupy vacant commercial spaces is in the best interest of public safety, welfare, and the well-being of the community; and WHEREAS, this matter was duly referred to the Planning Commission for investigation and study, and the matter was considered by the Planning Commission; and WHEREAS, pursuant to RCW 36.70A.106, on June 13, 2025, the City notified the State of Washington of its intent to adopt amendments to its development regulations; and WHEREAS, the Planning Commission held a public hearing on July 2, 2025, considered all relevant matters, and heard all parties in support or opposition, and subsequently forwarded a recommendation to the City Council; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DO ORDAIN AS FOLLOWS: SECTION I. All portions of the Renton Municipal Code in this ordinance that are not shown in strikethrough and underline edits, or are not explicitly repealed herein remain in effect and unchanged. SECTION II. Section 4-1-190.G of the Renton Municipal Code is amended as follows: ORDINANCE NO. 6168 G. COLLECTION OF IMPACT FEES: 1. Transportation, Parks, and Fire Impact Fees: a. Applicability: The City shall collect impact fees, based on the rates in the Fee Schedule, from any applicant seeking development approval from the City for any development activity within the City, when such development activity requires the issuance of a building permit or a permit for a change in use, and creates a demand for additional public facilities. b. Transportation and Parks Basis and Amount: Maximum allowable impact fees for transportation and parks are established by the applicable Rate Study. The rates to be charged by the City are listed in the Fee Schedule. c. Fire Impact Fee Basis and Amount: The maximum allowable fees shall be based on the fire capital facilities plan and the rate study developed by the RRFA, approved by its Board, and adopted by the City as part of the capital facilities element of the City's Comprehensive Plan and as a fire impact fee Rate Study. The rates to be charged are listed in the Fee Schedule. 2. School Impact Fees: a. Applicability: The City shall collect impact fees, based on the rates in the Fee Schedule, from all applicants seeking development approval from the City for any residential development activity in that portion of the City located within each respective school district's boundaries. 2 ORDINANCE NO. 6168 b. Basis and Amount: The maximum allowable fees shall be based on a school capital facilities plan developed by the appropriate school district and approved by the School Board, and adopted by reference by the City as part of the capital facilities element of the City's Comprehensive Plan. The rates to be charged are listed in the Fee Schedule. c. Adjustment by Council: The Council may adjust the fees, as it sees fit, to take into account local conditions such as, but not limited to, price differentials throughout each respective school district in the cost of new housing, school occupancy levels, and the percent of each school district's capital facilities budget, which will be expended locally. d. Classification by Dwelling Type: Separate fees shall be calculated for single family and multi -family dwellings, and separate student generation rates must be determined by each school district for each type of dwelling. For purposes of this Section, mobile homes shall be treated as single family dwellings. e. Credit for Tax Contributions: The formula in Attachment A to Ordinance 4808 provides a credit for the anticipated tax contributions that would be made by the development based on historical levels of voter support for bond issues in a school district. 3. Changes in Use or Tenancy: When an impact fee applies to a change of use permit, the impact fee shall be the applicable impact fee for the land use category of the new use, less any impact fee previously paid for the land use category of the prior use. If the prior use paid impact fees based on an Independent Fee 3 ORDINANCE NO. 6168 Calculation that was approved by the City, the new use shall pay based on the new land use category, less the impact fee paid by the prior use identified in the Independent Fee Calculation. For purposes of this provision, a change of use should be reviewed based on the land use category provided in the Rate Study that best captures the broader use of the property under development. Changes in use or tenancy, if consistent with the general character of the building or building aggregations (i.e., "industrial park," or "specialty retail") should not be considered a change in use that is subject to an impact fee. Further, minor changes in tenancies that are consistent with the general character of the included structure, building, or previous use should not be considered changes in use subject to an impact fee. If no impact fee was paid for the prior use, the impact fee for the new use shall be reduced by an amount equal to the current impact fee rate forthe prior use. Vacant buildings shall be assessed as if in the most recent legally established use as shown on a locally owned business license or development permit documents. 4. Reserved. 1--act Coe Deductier,c far Vac -ant St FurtuFes 9r Buildings; Cer the 4 ORDINANCE NO. 6168 — .--,-r than thFee (3) yeaps, the impact fee shall be the applicable impact fee fe-F I;4Ad use eat f the If p��a a��caces^vr�' vi�i�e�r-ii�'�'�c^. �� nc^rimpa6t fee Waspaid fer theprier use, the 5. Mixed Use: For mixed use developments, impact fees shall be imposed for the proportionate share of each land use, based on the applicable measurement in the impact fee rates in the City of Renton Fee Schedule. 6. Timing of Assessment and Collection: Impact fees shall be determined and paid at the time of issuance of a building permit or permit for a change of use is issued by the City. 7. Documentation of Credit Required: Feepayers allowed credits prior to the submittal of the complete building permit application or an application for a permit for a change of use shall submit, along with the complete application, a copy of the letter prepared by the Administrator, school district superintendent, 0 ORDINANCE NO. 6168 or RRFA official setting forth the dollar amount of the credit allowed. Impact fees, as determined after the application of any credits, shall be collected from the feepayer no later than the time a building permit or permit for a change of use is issued. 8. Deferral for Subdivisions, Short Subdivisions, and Planned Unit Developments: An applicant for residential subdivision, short subdivision, or planned unit development may defer payment of impact fees for all of the dwelling units to be created in the development until the earlier of the time of closing of the first sale of a single detached dwelling unit, condominium unit, or a multi -family residential building or eighteen (18) months after the issuance of the original building permit, but only if before recording the subdivision or short subdivision, the applicant: a. Submits to the Administrator a signed and notarized deferred impact fee application and acknowledgement form, which includes the legal description, tax account number, and address of each individual in the development; b. Records at the applicant's expense a covenant and lien that complies with the requirements of subsections G9bi through vii of this Section; and c. Pays the applicable nonrefundable administrative fee. 9. Deferral for Single Family, Condominium, and Multi -Family Dwellings: A building permit applicant may defer payment of impact fees for a single detached dwelling unit, condominium unit, or all of the dwelling units in a multi -family residential building until the earlier of the time of closing of the first sale of a single C. ORDINANCE NO. 6168 detached dwelling unit, a condominium unit or a multi -family residential building or eighteen (18) months after issuance of the original building permit, but only if before issuance of the building permit, the applicant: a. Submits to the Administrator a signed and notarized deferred impact fee application and acknowledgement form for each single detached dwelling unit, condominium unit or all of the dwelling units in a multi -family residential building for which the applicant wishes to defer payment of the impact fees; and b. Records at the applicant's expense a covenant and lien in the amount of the deferred impact fee(s) and that includes the legal description, tax account number, and address of the property that: i. Requires payment of the impact fees to the City at the earlier of the time of closing of the first sale or eighteen (18) months after issuance of the original building permit; and ii. Provides that if the impact fees are paid through escrow at closing of sale, in the absence of an agreement between the buyer and the seller to the contrary, the impact fees shall be paid from the seller's proceeds; and iii. Provides that the seller bears strict liability for the payment of the impact fees; and iv. Requires the seller or seller's agent of property subject to the covenant and lien to provide written disclosure of the covenant and lien to a purchaser or prospective purchaser. Disclosure of the covenant must include the amount of 7 ORDINANCE NO. 6168 impact fees payable and that the fees are to be paid to the City no later than the closing date; and v. Makes the applicant legally liable for payment of the impact fees if the fees are not paid by the earlier of the time of closing of the first sale or eighteen (18) months after the building permit has been issued; and vi. Is signed by all owners of the property as listed on a current title report, with all signatures acknowledged as required for a deed; and vii.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. 10. Payment Methods: Payment of impact fees deferred under this subsection shall be made by cash, escrow company check, cashier's check or certified check. 11. Lien Release: Upon receipt of payment of impact fees deferred under this subsection, the City shall execute a lien release for each single detached dwelling unit, condominium unit, or multi -family residential building for which the impact fees have been received. The property owner at the time of the release shall be responsible for recording the lien release. 12. Foreclosure by City: If impact fees are not paid, in accordance with the provisions of this subsection, the City may institute foreclosure proceedings in accordance with chapter 61.12 RCW. 13. Foreclosure by a School District: If the City does not institute foreclosure proceedings for unpaid school impact fees within forty five (45) days after ORDINANCE NO. 6168 receiving notice from a school district requesting that it do so, the district may institute foreclosure proceedings with respect to unpaid impact fees. 14. Required Prior to Building Permit Issuance: The Department shall not issue the required building permit or the permit for the change of use until the impact fees have been paid or the signed and notarized deferred impact fee application and acknowledgement form and deferral fee have been received and accepted by the City. 15. Number of Deferrals Limited: Each applicant for a single family building permit, in accordance with his or her contractor registration number or other unique identification number, is entitled to annually receive deferrals under this subsection for the first twenty (20) single family building permits issued by the City to that applicant. SECTION III. Upon approval of the City Attorney, the City Clerk is authorized to direct the codifier to make necessary corrections to this ordinance, including the corrections of scriveners or clerical errors; references to other local, state, or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering and references. The City Clerk is further authorized to direct the codifier to update any chapter, section, or subsection titles in the Renton Municipal Code affected by this ordinance. SECTION IV. If any section, subsection, sentence, clause, phrase, or word of this ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality thereof shall not affect the constitutionality of any other section, subsection, sentence, clause, phrase, or word of this ordinance. 9 ORDINANCE NO. 6168 SECTION V. This ordinance shall be in full force and effect five (5) days after publication of a summary of this ordinance in the City's official newspaper. The summary shall consist of this ordinance's title. PASSED BY THE CITY COUNCIL this 6th day of October, 2025. Jason dSeth, City Clerk APPROVED BY THE MAYOR this 6th day of October, 2025. Armondo Pavone, Mayor Approved as to form: Shane Moloney, City At orney Date of Publication: October 6, 2025 (Summary) CED:250RD13:09.16.2025 Edited IIIIf##toll y OF RE * = SEAL = * = �RA `ED St-9 ������ 10