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 City of Hermosa Beach --- 09-09-97
SUBJECT: TEXT AMENDMENT - HERMOSA BEACH MUNICIPAL CODE TO ALLOW ADDITIONAL TIME FOR PAYMENT OF SEWER CONNECTION FEES
Recommendation: That the City Council: Introduce the attached ordinance amending Title 13, Chapter 13.04 of the Hermosa Beach Municipal Code as it relates to the collection of Sewer Connection Fees. Background: The Community Development Department has recently received a request to consider the deferral of payment of the City's sewer connection fee for a proposed restaurant project. The existing ordinance requires payment of the Sewer Connection Fees prior to building occupancy with the fee generally collected at the time of permit issuance. The fee is applicable to any new floor area or any existing or remodeled area where the use of the building is changed. At the August 12, 1997 City Council meeting the Council directed staff to return with an ordinance revising the current ordinance to allow additional time for payment of the fee. Analysis: Sewer connection fees are substantial. In order to ease the burden of large financial expenditures at the time of permit issuance (which generally coincides with other start-up costs of a business) staff is proposing that business applicants assessed Sewer Connection Fees in excess of one thousand ($1,000) be allowed an additional 120 days from the date of business opening to remit the final connection fee to the City. One half (1/2) of the entire fee could be paid at occupancy of the building and that the Community Development Department would issue only a Temporary Certificate of Occupancy to the business requesting an extension until the entire fee is paid.
The applicant could pay the City interest on the amount deferred under terms of an agreement between the City and the applicant. Staff is proposing an interest rate of eight percent (8%) per day for the period of time that the Sewer Connection Fee is deferred. The City Attorney will prepare an agreement form to be signed by applicants wishing to defer Sewer Connection Fees.
ORDINANCE 97-
AN ORDINANCE OF THE CITY OF HERMOSA BEACH, CALIFORNIA AMENDING SEWER CONNECTION FEE, COLLECTION PROCEDURE, SECTION 13.04 OF THE HERMOSA BEACH MUNICIPAL CODE.
WHEREAS, the City Council at the regular meeting of August 12, 1997 heard oral testimony from the business community requesting relief from Sewer Connection Fees, and
WHEREAS, the City Council directed staff to prepare an ordinance allowing business owners more time to remit the total fees due.
NOW, THEREFORE, the City Council of the City of Hermosa Beach, does hereby ordain that the Municipal Code be amended as follows:
SECTION 1. Amend Section 13.04.090 to delete reference to "building and safety department" and substitute "community development department" and add an additional paragraph to read as follows:
"In Lieu of payment prior to occupancy, applicants assessed a fee in excess of one thousand dollars ($1,000) may pay one half (1/2) of the required fee prior to occupancy and the remainder within 180 days. In these cases the community development department shall issue a Temporary Certificate of Occupancy only, pending final payment. Additionally, the applicant shall pay interest at a rate of eight percent (8%) to the city for fees uncollected after occupancy."
SECTION 2. This ordinance shall become effective and be in full force and effect from and after thirty (30) days of its final passage and adoption.
SECTION 3. Prior to the expiration of fifteen (15) days after the date of its adoption, the City Clerk shall cause this ordinance to be published in the Easy Reader, a weekly newspaper of general circulation published and circulated in the City of Hermosa Beach in the manner provided by law.
SECTION 4. The City Clerk shall certify to the passage and adoption of this ordinance, shall enter the same in the book of original ordinances of said city, and shall make minutes of the passage and adoption thereof in the records of the proceedings of the City Council at which the same is passed and adopted.
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