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HomeMy WebLinkAboutResolution 2012-22 12/30/2012RESOLUTION 2012 - 22 A RESOLUTION OF THE COUNCIL OF THE CITY OF SPRINGFIELD AMENDING THE RATE STRUCTURE FOR SYSTEMS DEVELOPMENT CHARGES AS ESTABLISHED IN THE SPRINGFIELD MUNICIPAL CODE, SECTION 3.406, AND SPECIFYING AN EFFECTIVE DATE WHEREAS, the Oregon economy continues to struggle with a number of issues, including high unemployment and lack of investment; and WHEREAS, an effect of the continued struggles within the Oregon economy is a lack of new development which will generate revenues to fund essential service for Oregonians; and WHEREAS, in particular, the absence of large commercial and industrial development, which would provide family wage jobs for Oregonians, is challenging the ability of Springfield to provide adequate levels of service for its citizens; and WHEREAS, the costs of development include Systems Development Charges imposed by the City for the purposes of funding future infrastructure that will be required to meet the needs of community growth; and WHEREAS, on April 19, 2010, the Council adopted Resolution 10 -19, amending and adopting the rate structure for Systems Development Charges; and WHEREAS, the Council finds and determines that a temporary reduction in such charges may provide an incentive to encourage development within the City; and WHEREAS, the Council desires to stimulate large scale commercial and industrial development that will provide additional family wage jobs; and WHEREAS, the Council finds and detenmines that such a reduction will reduce the amount of funding available to fund future infrastructure requirements and that such shortfall may result in the delay of construction of such infrastructure projects; and WHEREAS, the Council finds and determines that such delay will be consistent with the delay in reaching the levels of growth contemplated by the several facilities plans upon which the Systems Development Charge Capital project list are based; and WHEREAS, the Council finds and determines that any such reduction should be enacted only for a limited period of time, and that it may, if conditions warrant, be extended by subsequent action of the Council; and WHEREAS, on February 6, 2012, the Council adopted Resolution 12 -02, reducing certain local Systems Development charges imposed by the city for the period ending December 31, 2012; and WHEREAS, on November 19, 2012, Council adopted Resolution 2012 -19, extending through ,Tune 30, 2013, the reductions in SDCs applicable to commercial and industrial development proposing more than 50,000 square feet of net useable space; and WHEREAS, at a work session on November 26, 2012, staff recommend extension of the SDC reductions through June 30, 2013, on other development, subject to certain restrictions; WHEREAS, having received a report on the effects of such reduction from City staff on November 5, 2012, the council finds and determines that it is in the public interest to continue certain reductions for an additional period; through and including June 30, 2013; NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SPRINGFIELD, that for a period beginning on January 1, 2013, and ending on June 30, 2013, unless further extended by Council Resolution, all Systems Development Charges, except those modified by Resolution 2012 -19, imposed by the City shall be adjusted as follows: 1. For all commercial and industrial development proposing new net useable space less than 50,000 square feet, such charges shall be reduced by 50 percent; 2. For all new single and two family residential development, such charges shall be reduced by 100 percent; and BE IT FURTHER RESOLVED, that the total amount of reduction in local SDCs permitted pursuant to this resolution shall be $500,000; and BE IT FURTHER RESOLVED, that in the event there are multiple applications for development pending where the total amount of reductions permitted hereunder, when added to those previously granted pursuant to this resolution, shall exceed $500,000, staff shall allocate the remain available amount of reductions on the basis of the date that the building permit application was deemed complete; and BE IT FURTHER RESOLVED, that the reductions provided herein shall be in lieu of any and all reductions which might be available in the Downtown Development area, as described in Resolution 10 -19; and BE IT FURTHER RESOLVED, that the City Manager is directed to report to the Council on or before June 18, 2013, with respect to the impact of these reductions both on development within the City and the impact on Systems Development Charge revenues, and to recommend whether or not to extend this program of reductions, and RESOLUTION NO. 2012 -22 BE IT FURTHER RESOLVED, that this Resolution shall take effect upon adoption by the Council and approval by the Mayor. Adopted by the Common Council of the City of Springfield, Oregon, by a vote of 6 for and 0 against, this 3rd day of December , 2012. ATTEST: City Recorder REb°'UK-11, it APPROVED A TO FOR DATi OFFICE OF CITY ATTORNEY Mayor RESOLUTPON: -NO. 2012 -22