Chapter 22

 

DEVELOPMENT IN AREAS WITHOUT EXISTING SERVICES

 

SECTION 1

 

22.1.1                         PURPOSE.

 

(1)       The purpose of this Chapter is to provide policies, standards, requirements and procedures to regulate and control the development of land that is not served by utilities and City services, to ensure that all such developments are provided with necessary utilities and services, and to provide for a system to reimburse a developer who extends services to an area when said services have excess capacity that may benefit other developments in the same area.


 

22.1.2             DEVELOPMENT BEYOND EXISTING UTILITIES AND SERVICES.

 

(1)       In order to preserve limited resources and to better use existing City utilities and services, Grantsville City discourages the development of land that is beyond the reach of existing City utilities and services.  Grantsville City also encourages reasonable growth and development that is readily served by existing City utilities and services and other public utilities.

 

(2)       Any developer of land that is not in close proximity to City utilities and services including improved streets and other public utilities, shall be required to install at its expense any municipal improvement and other necessary public utilities to its property as a condition of development approval.  These improvements shall be in addition to any other required on site improvements and shall be in addition to all impact fees regularly imposed by the City.

 

(3)       Any developer who benefits from the excess capacity of municipal improvements constructed or installed at the expense of a previous developer, shall as a condition of development approval be required to reimburse the previous developer pursuant to provisions of this Chapter.

 

22.1.3                         EXCESS CAPACITY REIMBURSEMENT

 

(1)       If, in the course of prudent planning for the orderly development of land within the City, a developer of land is required by the City, as a condition of development approval, to construct and install, at the developer’s expense, municipal improvements with capacity in excess of that necessary to serve the developer’s project or to extend municipal improvements beyond the limits of existing services, when said improvements contain the capacity to serve other developments in the same area, such developer shall be entitled to reimbursement for that portion of the cost thereof which is attributable to the excess capacity of said improvements, in conformance with the following and provided said improvements cost more than $5,000.:

 


(a)       As a condition to receiving reimbursement, the original developer shall submit a written request for reimbursement at the time of development approval and upon completion of said improvements an itemized statement of the actual costs and expenses incurred by the original developer in the construction and installation of the municipal improvements covered by this Chapter.  The City shall submit the request to the City Engineer who shall review the same and prepare a report analyzing the costs, calculating the extent of any excess capacity and that portion of the cost attributable to the excess capacity, and defining the benefits which may be received in connection with the development of other lands out of the excess capacity of the improvements, and thereupon determine the amount of reimbursement potentially due and owing to the original developer.  The benefit which may be received by subsequent developers of other lands inuring out of the excess capacity shall be determined on a case-by case basis, weighing such factors as total developable acreage, front footage, usage etc.   The total amount of any such reimbursement that could potentially be assessed against subsequent developers shall be approved by the City Council and certified to the original developer, in writing.

 

(b)       The City shall reimburse an original developer out of funds as and when collected by the City from the developers of any land which subsequently benefits from the excess capacity of said improvements, subject to the following:

 

(i)         Based upon the City’s engineering report, the City Council shall approve  the pro-rata amount of any reimbursement due to the original developer from each subsequent developer benefiting from the excess capacity, and the City shall collect such amount in full, from each subsequent developer as a condition to such subsequent developer’s final plat or development approval.  The City shall pay the reimbursable amount collected from each subsequent developer to the original developer within sixty (60) days from the date of receipt of said funds.  The current address of the original developer to which such funds shall be transmitted shall be kept on file with the City by the original developer.  In addition to collecting the reimbursable amounts from subsequent developers as provided for herein, the City shall be entitled to collect an administrative fee equal to five percent (5%) of the reimbursement amount from said subsequent developer to offset its fees and expenses in administering this Chapter.  All amounts due under this Chapter shall be paid by the developer at the same time as the developer submits its financial assurance to the City for off-site and common open space improvements, except that the reimbursements and fees for the development of individual residential lots or lots in minor subdivisions shall be paid at the time of the acquisition of a building permit.                                                                                                           

 

(ii)        At the time of collection of any reimbursement amount from a subsequent developer, and as a condition to final plat or development approval, each subsequent developer shall be required to execute a written waiver and acknowledgment pursuant to which such subsequent developer shall expressly waive any and all claims which it may then or in the future have against the City with respect to the quality of the workmanship of the improvements or the sufficiency of the capacity or the suitability or fitness of the improvements for such subsequent developer’s project, and acknowledge that such subsequent developer shall utilize and/or receive the benefit of the excess capacity of the improvements in their “as is” “where is” condition, without warranty of any kind, express or implied.

 

(iii)       In addition to the pro-rata share of the cost of the public improvements, and the administrative fee of the City, a fixed simple interest of three percent (3%) per annum shall be added to the subsequent developer’s pro-rata cost of the public improvements, which interest shall accrue from January 1st of the first full calendar year after the original developer’s application for reimbursement of excess capacity is approved.

 


(iv)       The reimbursement amount, interest and administrative fee to be collected by the City from any subsequent developer for payment to the original developer hereunder shall be in addition to any development or impact fees which are required to be paid to the City by any such subsequent developer in connection with the development of such subsequent developer’s land.  Nothing herein shall constitute a waiver of any such fees, and the original developer shall have no claim or interest in them.

 

(v)        The City does not guarantee that any subsequent developer will develop land and thus utilize any of the excess capacity available in the improvements or that the original developer will recoup any or all of the reimbursement amount during a fifteen year period or other period approved by the City Council.

 

(c)        The City and the developer may agree, in writing, to a plan or procedure for reimbursement other than that set forth herein, including, without limitation credits for impact fees and/or other development exactions, etc.

 

(d)       The original developer’s right of reimbursement hereunder shall continue for a period of fifteen (15) years from the date of such certification or such other period as may be deemed appropriate under the circumstances and approved by the City Council.  The City’s obligation for reimbursement shall terminate upon payment to the original developer, in full, of the total reimbursement amount, plus interest, or at the expiration of the fifteen year period or other time period approved by the City Council, whichever first occurs.

           

22.1.4                         EFFECTIVE DATE - APPLICATION.

 

(1)       The provisions of this Chapter shall apply to all covered improvements installed by a developer after March 10, 2000.  Developers seeking reimbursement under this Chapter shall submit an application for reimbursement prior to final plat approval or in the case of minor subdivisions prior to final approval by the City Council.  Developers of single lots shall submit an application for reimbursement at the time of their application for a building permit.   Developers installing qualifying improvements shall submit to the City an itemized statement of the actual costs and expenses incurred, within six months of the completion of the installation of the improvements that qualify for reimbursement under this Chapter.