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HomeMy WebLinkAboutres2024-030Whatcom County Agenda Bill Report File Number: AB2024-350 COUNTY COURTHOUSE 311 Grand Avenue, Ste #105 Bellingham, WA 98225-4038 (360) 778-5010 File ID: AB2024-350 Version: 1 Status: Approved File Created: 05/21/2024 Entered by: mdonley@co.whatcom.wa.us Department: Public Works File Type: Resolution (FCZDBS) Requiring a Public Hearing Department Assigned to: Council Finance and Administrative Services Committee Final Action: 06/18/2024 Agenda Date: 06/18/2024 Enactment #: RES 2024-030 Related Files: Primary Contact Email: sdraper@co.whatcom.wa.us TITLE FOR AGENDA ITEM: Resolution adopting changes to WCC 100.07 Birch Bay Watershed and Aquatic Resources Management district funding mechanism, by revising the rate structure, service charge adjustments and exemptions (Council acting as the Whatcom County Flood Control Zone District Board of Supervisors) SUMMARY STATEMENT OR LEGAL NOTICE LANGUAGE: See memo HISTORY OF LEGISLATIVE FILE Date: Acting Body: Action: Sent To: 06/04/2024 Council INTRODUCED FOR Council PUBLIC HEARING Aye: 7 Buchanan, Byrd, Donovan, Elenbaas, Galloway, Scanlon, and Stremler Nay: 0 06/04/2024 Council INTRODUCED FOR Council Finance and PUBLIC HEARING Administrative Services Committee 06/18/2024 Council Finance and Administrative DISCUSSED Services Committee 06/18/2024 Council APPROVED Aye: 6 Buchanan, Byrd, Donovan, Galloway, Scanlon, and Stremler Nay: 1 Elenbaas Whatcom County Page 1 Printed on 6/20/2024 Agenda Bill Report Continued (AB2024-350) Attachments: Memo, Proposed Resolution, Proposed Exhibit A -Track Changes, Proposed Exhibit A -Clean, Public Comment - Scott Hulse Whatcom County Page 2 Printed on 612012024 1 PROPOSED BY: PUBLIC WORKS 2 INTRODUCTION DATE: 06/04/2024 3 4 5 RESOLUTION NO. 2024-030 6 7 ADOPTING CHANGES TO WCC 100.07 BIRCH BAY WATERSHED AND AQUATIC 8 RESOURCES MANAGEMENT DISTRICT FUNDING MECHANISM, BY REVISING THE 9 RATE STRUCTURE, SERVICE CHARGE ADJUSTMENTS AND EXEMPTIONS 10 11 (Council acting as the Whatcom County Flood Control Zone District Board of 12 Supervisors) 13 14 WHEREAS, on March 13, 2007, the Whatcom County Flood Control Zone District 15 Board of Supervisors adopted Ordinance 2007-019, which created the Birch Bay Watershed 16 and Aquatic Resources Management (BBWARM) District pursuant to RCW 86.15; and, 17 18 WHEREAS, RCW 86.15.160(4) authorizes a charge for the furnishing of service to 19 those who are receiving or will receive benefits from stormwater control facilities and 20 programs and who are contributing to an increase in surface water runoff (Res 2008-049 & 21 Res 2008-050); and, 22 23 WHEREAS, implementation of the Birch Bay Comprehensive Stormwater Plan is 24 needed to solve many of the current stormwater management problems in the Birch Bay 25 Watershed; and, 26 27 WHEREAS, there exists an extensive list of capital improvement projects needing 28 construction in Birch Bay, with more added every year due to aging infrastructure, 29 unprecedented storm events, climate change and other factors; and, 30 31 WHEREAS, the BBWARM District service fee has remained unchanged since its 32 inception in 2009, but cumulative operating and capital cost inflation since 2009 is 33 approximately 50-62%; and 34 35 WHEREAS, the community demand for projects has increased over the years, but 36 the amount of revenue to complete the projects has not; and 37 38 WHEREAS, the BBWARM Advisory Committee recommended and County Council 39 authorized staff to hire a financial consultant in August 2023 to conduct a rate study and 40 funding analysis; and 41 42 WHEREAS, three public meetings were held in January, April and May 2024, with 43 opportunities for comments and feedback from the community on the rate study 44 presentations; and 45 46 WHEREAS, the BBWARM Advisory Committee has studied the rate structure options 47 and has submitted a final recommendation to the Whatcom County Flood Control Zone 48 District Board of Supervisors; and 49 50 NOW, THEREFORE, BE IT RESOLVED by the Whatcom County Flood Control Zone 51 District Board of Supervisors that Chapter 100.07 of the Whatcom County Code entitled Page 1 I `Birch Bay Watershed and Aquatic Resources Management District Funding Mechanism" is 2 hereby amended as outlined in Exhibit A of this resolution. The new proposed language is 3 underlined and deleted language is stricken. 4 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Pi �,�� 18th day of June m®®. 0 NTC ana Brow'n4D l i�(3Z K of -the Council APPROVED AS TO FORM: Christopher Quinn - approved via email 5116124 Chief Civil Deputy Prosecuting Attorney Page 2 20 24 . EXHIBIT A Clean Version Chapter 100.07 BIRCH BAY WATERSHED AND AQUATIC RESOURCES MANAGEMENT DISTRICT FUNDING MECHANISM Sections: Article I. Funding Mechanism 100.07.010 Title. 100.07.020 Purpose. 100.07.030 Applicability. 100.07.040 Definitions. 100.07.050 Rate structure. 100.07.060 Billing. 100.07.070 Service charge adjustments and appeals. 100.07.080 Exemptions. 100.07.090 Use of funds. 100.07.100 Lien for delinquent charges. 100.07.110 Severability. 100.07.120 Appeal of manager's final decision fee. Article II. Service Units and Rates 100.07.200 Annual unit rates. Article I. Funding Mechanism 100.07.010 Title. This chapter shall be titled "Birch Bay watershed and aquatic resources management (BBWARM) district funding mechanism." (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 1)). 100.07.020 Purpose. The purpose of this chapter is to provide revenue for the BBWARM district to plan, manage, design, construct, establish, acquire, develop, maintain, use, finance, operate, control, or improve storm and surface water control facilities, and to carry out activities related thereto. This chapter provides these revenues by fixing rates and charges pursuant to RCW 86.15.160 for the furnishing of service to those served or receiving benefits or to be served or to receive benefits from any stormwater control facility or contributing to an increase of surface water runoff in the BBWARM district. This authority is being invoked in order to minimize property damage; promote and protect public health, safety and welfare; minimize water quality degradation by preventing siltation, contamination and erosion of the waterways; protect aquifers; ensure the safety of county roads and rights -of -way; increase educational and recreational opportunities; encourage the retention of open space; and foster other beneficial public uses within the BBWARM district. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 2)). 100.07.030 Applicability. The requirements of this chapter shall apply to all parcels of real property in the BBWARM district, including public and private property. (Res. 2009-015 § I (Exh. A); Res. 2008-049 § 1 (Exh. A § 3)). 100.07.040 Definitions. For the purposes of this chapter, the words or phrases below shall have the following meanings: A. "Agricultural parcel" means a developed parcel participating in the Whatcom County Open Space Program, including open space farm and agricultural land as defined in Chapter 84.34 RCW. B. "Biofiltration" means the use of vegetation, including grasses and wetland plants, to filter and treat stormwater runoff as it is conveyed through an open channel or swale. C. `Board" means the Whatcom County flood control zone district board of supervisors. D. "County" means Whatcom County, or, as indicated by the context, may mean the department of public works, public works director, county engineer, or other employee or agent representing the county in the discharge of his or her duties. E. "County roads" means public rights -of -way, excluding state roads, in the unincorporated and incorporated areas served by the subzone. F. "Developed parcel" means a parcel of real property which has been altered by impervious surface coverage. G. "Enterprise fund" means a fund established to account for operations that are financed and operated in a manner similar to private business enterprises where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. As such, enterprise funds must report actual financial position and results of operations such as actual assets, liabilities, fund equity balances, revenues, expenditures, and expenses. H. "Equivalent service unit (ESU)" means a configuration of impervious surface estimated to contribute an amount of runoff to the county's stormwater management system which is approximately equal to that created by the average single-family residential developed parcel in the service area. I. "Impervious surfaces" means hard -surfaced areas which prevent or retard the entry of water into the soil mantle and/or cause water to run off the surface in greater quantities or at an increased rate of flow than under natural conditions. Common impervious surfaces include but are not limited to rooftops, concrete or asphalt roads, sidewalks and paving, walkways, patio areas, driveways, parking lots or storage areas and gravel, hard -packed dirt, oiled or other surfaces which similarly impede the natural infiltration of surface water or runoff patterns existent prior to development. J. "Manager" means the Public Works Director or his/her designee. K. "Other developed parcel" means a parcel that contains impervious surface area and is not a single-family residence, including at a minimum commercial, industrial, multifamily apartment, and public property. L. "Parcel" means the smallest separately segregated unit or plot of land having an identified owner, boundaries and surface area which are documented for real property purposes, and a tax account number assigned by the Whatcom County assessor. M. "Service charge" means the subzone fee in an amount to be determined by applying the appropriate rate to a particular parcel of real property based upon factors established by this chapter. N. "Single-family residence" means a residential structure designed exclusively for occupancy by one family, including mobile homes and duplex units, as defined by the Whatcom County land use and development code. O. "Small single-family residence" means a parcel containing a single-family residence that is covered by an amount of impervious surface area equal to or less than one-half the square footage of one ESU. P. "State roads" mean state highway rights -of -way as defined in RCW 90.03.520. Q. "Stormwater control facilities" means any facility, improvement, development, property or interest thereon made, constructed or acquired for the propose of controlling, or protecting life or property from any runoff, storm, waste, flood or surplus waters wherever located within the county, and shall include but not be limited to the improvements and authority described in Chapters 86.13 and 86.15 RCW. R. "Subzone" means the BBWARM district. S. "Undeveloped parcel" means any parcel of real property that has not been altered by construction of any impervious surface area. T. "Unit rate" means the dollar amount charged per ESU (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 4)). 100.07.050 Rate structure. A. Service charges for the subzone are hereby authorized and imposed in amounts and on terms consistent with this chapter. B. The rates and service charges shall be based on the service provided and the relative contribution of stormwater runoff from a given parcel to the stormwater management facilities. The estimated or measured impervious surface area will be used to determine the relative contribution of stormwater runoff fiom the parcel. Service charges shall be determined as follows: 1. Single -Family Residences. The service charge for each single-family residence shall be the unit rate times one ESU. 2. Other Developed Parcels. The service charge for all other developed parcels, including publicly -owned properties, shall be computed by multiplying the unit rate for the applicable density times the number of ESUs on the parcel minus any approved rate adjustment for the parcel as determined under FCZD 100.07.070. There shall be a minimum service charge for all developed properties equal to one-half the unit rate. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § I (Exh. A § 5)). 100.07.060 Billing. A. Property Tax Statements. Rates and charges as authorized by this chapter shall be added to and included in Whatcom County's annual tax statements. Properties which do not receive a property tax statement will receive a separate billing statement for these rates and charges. B. Payment Date. The total amount of the stormwater rate and charge shall be due and payable on or before the thirtieth day of April and shall be delinquent after that date; however, if one-half of such rate and charge is paid on or before the said thirtieth day of April, the remainder shall be due and payable on or before the thirty-first day of October and shall be delinquent after that date. 100.07.070 Service charge adjustments and appeals. A. Any person billed for service charges may file a request for service charge adjustment with the manager within 30 days of the date of the bill, on forms provided by the Whatcom County Public Works Stormwater Division. However, submittal of such a request does not extend the period of payment for the charge. B. A request for service charge adjustment may be granted or approved by the manager only when one or more of the following conditions exist: 1. The amount charged is in error; however, no adjustment will be made unless the parcel is nonresidential and the calculation of the impervious surface area on the parcel is shown to be in error by at least 10 percent, as demonstrated by a licensed surveyor or engineer. 2. The parcel exists in its natural, unimproved condition and will remain in its natural, unimproved condition with no allowable human activities or manmade improvements that adversely affect water quantity or quality. 3. The parcel contains a new or remodeled commercial building that utilizes a permissive rainwater harvesting system that is properly sized to utilize the available roof surface of the building. a. For qualifying permissive rainwater harvesting systems as provided for under RCW 36.89.080, the adjustment calculation formula is expressed mathematically as follows: A = F x 10% Where: A = The amount to be subtracted from the annual fee; and F = The total annual charge without adjustment. 4. The parcels are determined to be contiguous, are owned by the same entity, and meet the definition of "other developed parcel" in FCZD 100.07.040(L). Contiguous lots will be treated as a single lot for the purposes of service charge calculations. 5. The parcel is a qualifying small single-family residence covered by an amount of impervious surface area equal to or less than one-half the square footage of one ESU. The service charge for each small single-family residence shall be the unit rate times one-half ESU. 6. The parcel participates in the Whatcom County Open Space Program and has less than one acre of impervious surface (excluding driveways). The service charge shall be the unit rate times one ESU. C. The following information will be required by the manager to determine eligibility for a service charge adjustment: 1. Applicable documentation, maps, and calculations that support the basis for the service charge adjustment; 2. Signature of the person responsible for the accuracy of the adjustment application material; and 3. Other information, as required by the manager, if deemed necessary. D. It is the responsibility of the property owner to notify the manager prior to any change in lot ownership, configuration, condition, or use that would result in noncompliance with the criteria in subsections B (2) through (6) of this section. Fees will be recalculated to reflect any such change from the date of the change and applied to the individual parcels pursuant to the rate schedule in effect at the time of the change. E. Service charge adjustments will only apply to the bill then due and payable and bills subsequently issued. The property owner shall have the burden of proving that the service charge adjustment should be granted. F. Decisions on requests for service charge adjustment shall be made by the manager based on information submitted by the applicant and by the county within 60 days of the adjustment request, except when additional information is needed. The applicant shall be notified in writing of the manager's decision. G. Decisions of the manager on requests for service charge adjustments shall be final unless appealed within 30 days of the date of the decision to the Whatcom County hearing examiner. Appeals of the manager's final decision must be filed with and on forms provided by the Whatcom County Public Works Stormwater Division. The hearing examiner shall review appeals to determine if the manager made any errors in the application of the rules, definitions and requirements of this chapter. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 7)). 100.07.080 Exemptions. A. Any senior citizen or person with disabilities who qualifies for a property tax exemption by the Whatcom County Assessor's Office under RCW 84.36.381 shall be exempt from this service charge. B. Properties owned by BBWSD are exempted from BBWARM stormwater fees provided an interlocal agreement is in effect between BBWSD and WCFCZD. (Res. 2019-044 (Exh. A); Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 8)). C. Undeveloped parcels, including designated forestland, as defined in Chapter 84.33 RCW, shall not be charged. D. State, county or city roads shall not be charged. 100.07.090 Use of funds. Service charges collected under this chapter shall be deposited into a special enterprise fund or funds to be used only for the purpose of paying all or any part of the cost and expense of administration, fee collection, maintaining and operating stormwater control facilities, all or any part of the cost and expense of planning, designing, establishing, acquiring, developing, constructing, maintaining, and improving the program and facilities of the BBWARM district. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 9)). 100.07.100 Lien for delinquent charges. A. Liens. Pursuant to RCW 36.94.150, Whatcom County shall have a lien for delinquent service charges, including interest thereon, against any property against which they were levied, which lien shall be superior to all other liens and encumbrances except general taxes and local and special assessments. Such liens shall be effective and shall be enforced and foreclosed as provided in RCW 36.94.150. Therefore, the county may commence to foreclose such liens 60 days after the attachment of the lien. B. Interest. Delinquent service charges shall bear interest as provided in RCW 36.94.150 at the rate of eight percent per annum, or such rate as may hereafter be authorized by law, computed on a monthly basis from the date of delinquency until paid. Interest shall be calculated at the rate in effect at the time of payment of the charges regardless of when the charges were first delinquent. C. Penalties. Penalties of 10 percent of the amount due shall be imposed in case of failure to pay the charges at times fixed by resolution, as provided in RCW 3694.150. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § I (Exh. A § 10)). 100.07.110 Severability. If any section, clause, or provision of this chapter be declared by the courts to be invalid, the same shall not affect the validity of the chapter as a whole or any part thereof other than the part so declared to be invalid. (Res. 2009-015 § 1 (Exh. A); Res. 2008-049 § 1 (Exh. A § 11)). 100.07.120 Appeal of manager's final decision fee. The fee for appeals to the manager's final decision as provided for in FCZD 100.07.070(G) shall be $500.00. (Res. 2009-015 § 1 (Exh. A)). Article II. Service Units and Rates 100.07.200 Annual unit rates. A. For the purpose of calculating unit rates, 4,000 square feet of impervious surface area within the BBWARM district shall constitute one ESU. The board may re -define from time to time, by resolution, the size of one ESU as measured in square feet. B. The following annual unit rates per ESU are hereby established for the BBWARM district: 2025 2026 2027 2028 $107.55 $136.59 $163.90 $190.13 Beginning in 2029, rates shall be increased by the average of the Seattle -Tacoma -Bellevue, WA Consumer Price Index (CPI-U) bimonthly percent changes (August, October and December), not seasonally adjusted over the last six months of the previous year, with a minimum increase of 2.5%. All CPI-U related rate changes shall go into effect in January of the following year.