CITY OF HOMER

HOMER, ALASKA

City Clerk

ORDINANCE 05-06(S)

AN ORDINANCE OF THE HOMER CITY COUNCIL AMENDING HOMER CITY CODE SECTION 17.04.010, DEFINITIONS, COSTS; SECTION 17.04.030, IMPROVEMENT DISTRICTS--FORMATION AND ASSESSMENT; SECTION 17.04.050, IMPROVEMENT PLAN--OBJECTIONS AND REVISIONS AND ADDING AN APPLICATION FEE.

WHEREAS, The Council has expressed concern regarding the local improvement district (LID) initiation process; and

WHEREAS, Council discussed this process during the Committee of the Whole on September 13, 2004, and January 24, 2005 and asked for the process to be modified for their consideration; and

WHEREAS, AS §29.46.020, Procedure, provides the authority for municipalities to set a procedure by Ordinance for filing petitions; and

WHEREAS, Council's questions and concerns were relayed to the City Attorney through email on September 14, 2004 and discussed with him, in person, on September 15, 2004; and

WHEREAS, Via Resolution 03-159 on December 15, 2003, fees were adopted for the LID process and were not implemented into the City Code.

NOW, THEREFORE, THE CITY OF HOMER ORDAINS:

Section 1. Homer City Code Section 17.04.010, Definitions, Subsection b., Cost, is hereby amended to read as follows:

17.04.010 Definitions. In this chapter, unless otherwise provided, or the context otherwise requires, the following words and phrases shall have the meanings set forth in this section:

a. "A.C.R.P" means the Accelerated Roads Program, criteria for which is set forth in Resolution 88-47, duly adopted by the City Council.

b. "Cost" means all expenses incurred by the City for making an improvement and includes, but is not limited to advertising expenses, engineering and architect fees, legal fees, construction contracts, costs of interim financing, financing the improvement, including the issuance of bonds and administrative [overhead] costs as established by the Council of the City.

c. "Improvement" includes, but is not limited to erecting, building, establishing, laying out, altering, opening, improving and repairing of streets, sewer, water supply and distribution systems, avenues, sidewalks, alleys, bridges, squares and other public highways and places within the City, and draining, sprinkling and street lighting them; removing all obstructions; establishing grades, grading, planking, paving, macadamizing, graveling and curbing them, in whole or in part,

Page Two

Ordinance 05-06(S)

City of Homer

and constructing gutters, culverts, sidewalks and crosswalks; acquiring and constructing parks and playgrounds, making changes in channels of streams or watercourses or constructing, erecting, strengthening or repairing bulkheads, embankments or dikes for streams or watercourses.

d. "Local improvement district" means all parcels and rights-of-way included within the boundaries being benefitted by a specific improvement. The term "special assessment district" may be used interchangeably with "local improvement district".

e. "Record owner" means the person in whose name property is listed on the property tax roll as provided by the Kenai Peninsula Borough and is conclusively presumed to be the legal owner of record. If the owner is unknown, the assessment may be made against "unknown owner". (Ord. 88-10 1, 1988; Ord. 87-14 1(part), 1987).

Section 2. Homer City Code Section 17.04.030 is hereby amended to read as follows:

17.04.030 Authorization and proposals. The Council may create local improvement districts and assess the real property benefitting from such capital improvements for all or a portion of the cost of such improvements. An improvement proposal may be initiated by:

a. Property owners filing, with the City Clerk, [a request] an application with a non refundable fee, as set by Resolution of the City Council and set forth in the City of Homer Fee Schedule, that an improvement district be formed and stating what specific public improvement is to be made. This [request] application must be on a form provided by the City Clerk [in writing] and contain the signature of at least fifty[-one] percent of the property owners of record in the proposed improvement district, .

1. Upon receipt of [a request] an application for an improvement district the City Clerk shall verify that the [requesters] applicants are record owners of the district. [wherein theimprovements are requested.]

2. If the [request] application has sufficient and proper [requesters] applicants [the City Clerk shall:

i. schedule a neighborhood meeting of those property owners to be benefitted by the improvement, notify the properties by mail and include notice in the City's regular meeting advertisement, and

ii. forward the [request] application to the Public Works Director for review of the improvement district boundaries and verification of the information to be used in the assessment methodology, which includes an estimated project cost for non Homer Accelerated Road Program improvement districts ; and

iii. prepare a petition containing information that shall include the owner(s) of record, property value, Kenai Peninsula Borough Parcel number, brief legal description, and improvement assessment information including but not limited to the assessment methodology used, which includes an estimated project cost for non Homer Accelerated Road Program improvement districts and assessment amount, and any terms or interest for assessment payments; and

iv. forward a copy of the petition to the Public Works Director or designee and to the Finance Director or designee for a final review prior to issuing the petition; and

Page Three

City of Homer

Ordinance 05-06(S)

v. the City Clerk shall assign a deadline for return/filing of the petition with the City Clerk that shall be sixty days from issuance of the petition; and

vi. petitioners may request an extension, prior to the sixty day deadline up to an additional thirty days.

b. Upon receipt of the petition the City Clerk shall verify that the owners of at least fifty[-one]percent or more in value of the property to be benefitted by the improvement have signed the petition. The City Clerk shall forward the [request] petition to the City Council who shall find by resolution whether:

1. The improvement [requested] is necessary and should be made;

2. The [request] petition has sufficient and proper petitioners; and

3. The findings adopted by resolution under this section are conclusive.

c. If a petition is found to be insufficient the City Clerk shall forward the information to the City Council who shall find by resolution whether:

1. The petition is found to be insufficient; and

2. That the same local improvement district [request] application and petition may not be submitted for at least six months from the date of the adoption of the resolution; and

3. That the same [requesters] applicants/property owners may file with the City Clerk [a request] an application for the same improvements for a modified area within thirty days from the date of the adoption of the resolution.

d. The City Council may determine that an improvement is needed, and initiate by passing a resolution by approval of not fewer than three-fourths vote of the Council so declaring and shall proceed as provided in Sections 17.04.040 through 17.04.060 of this chapter. (Ord. 03-29(S), 2003; Ord. 87-14 §1(part), 1987).

Section 3. Homer City Code Section 17.04.050 is hereby amended to read as follows:

17.04.050 Improvement plan--Objections and revisions. a. The owner of property to be assessed may file a written objection to the plan no later than sixty days after the public hearing required in Section 17.04.040(b). At the end of the sixty days, if the owners of property in the district who shall bear [fifty-one percent or more] fifty percent or more of the total costs have not objected, the Council may pass a written resolution approving the plan and proceeding with the improvement.

b. Non responses during the sixty day objection period shall be deemed to be non - objections.

[b].c. If objections are made in writing during the period set forth for objections by owners of property who shall bear fifty percent or more of the total estimated cost of the improvement, the council may not proceed with the improvement unless the plan is revised to meet the objections and the objections are reduced to less than fifty percent. The Council may then pass a resolution approving the revised plan, which shall now become an original plan, and proceed with the improvement.

[c].d. If a change is made by Council in an improvement district boundary, such change shall be made promptly by the City Clerk after any amendment thereof has been passed. Property owner(s) Page Four

Ordinance 05-06(S)

City of Homer

affected by the change will be notified promptly by the City Clerk in writing. (Ord. 87-14 §1(part), 1987).

Section 4. This Ordinance is of a permanent and general character. and shall be included in the City Code.

ENACTED BY THE CITY COUNCIL OF HOMER, ALASKA this ________ day of ______________, 2005.
CITY OF HOMER

____________________________

JAMES C. HORNADAY, MAYOR

ATTEST:

____________________________________

MARY L CALHOUN, CMC, CITY CLERK

YES:

NO:

ABSTAIN:

ABSENT:

First Reading:

Public Hearing:

Second Reading:

Effective Date:

Reviewed and Approved as to form and content:

__________________________ _________________________

Walt E. Wrede, City Manager Gordon J. Tans, City Attorney

Date: _______________ Date: _______________

Fiscal Note: NA