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[Ord. No. 2020-189, 12-21-2020]
It is the intention of the Town Council in providing a reimbursement procedure under this Article to provide an appropriate incentive for developers of private property to pay for the construction of water and sewer mains and regional stormwater facility infrastructure to connect such developer's property with existing utilities by providing a process whereby a developer may recoup a portion of the initial constriction cost of such infrastructure from benefitted offsite properties. The Town Council also recognizes that it is necessary for a developer to timely apply to the Town for reimbursement and further that there shall be a limitation on the period of time, expressed in years, whereby a developer may recoup the cost.
[Ord. No. 2020-189, 12-21-2020]
Developers who construct off-premises water or sewer mains or regional storm water improvements that benefit other properties may, in the Town's discretion, be entitled to reimbursement from persons desiring to connect to the off-premises mains or are in the drainage area of the storm water improvements if all of the following circumstances exist:
(1) 
The developer constructs the off-premises water or sewer main or regional storm water improvements in accordance with Town specifications and requirements with prior approval by the Town;
(2) 
The developer provides the Town with the final certified costs of the improvements and satisfactory evidence that all such costs, including engineering, construction and other costs in connection with the project, were paid in full;
(3) 
The developer provides the Town with completed bid forms containing the description, estimated quantity and unit price for each item included in the project from at least three (3) qualified contractors, unless the Town otherwise agrees, with an indication of which contractor was awarded the project;
(4) 
The developer provides the Town with a map of the improvements for which the developer is seeking reimbursement, including the following:
a. 
The location of the improvements;
b. 
The name of the owner of each property specially benefitted by the improvement; and
c. 
The legal description of each property benefited by the improvement;
(5) 
The Town is notified of the completion of the construction within three months of the completion and is provided documentation evidencing the date of such completion.
(6) 
Prior to completion of the construction, the developer provided notice of the opportunity to participate in the cost of the construction to all owners of benefitted offsite properties, or their predecessors in interest, against whom reimbursement may be assessed and provides proof of such notice to the Town;
(7) 
The benefitted offsite property to be served by the improvements was owned at the time of construction by a person who did not participate in the cost of construction; and
(8) 
The person against whom the reimbursement is to be assessed requests approval for water or sewer line extensions or services which connect to the off-premises water or sewer main either directly or indirectly or are in the drainage area of the regional storm water improvements during the time period in which the developer is eligible for reimbursement.
[Ord. No. 2020-189, 12-21-2020]
If the developer is eligible for reimbursement, the developer must obtain approval for such reimbursement from the Town Council. If approved, the developer shall be entitled to reimbursement for a ten-year period following completion of the construction. The ten-year period may be renewed, in Town Council's discretion, for a maximum of two additional five-year periods by action of the Town Council upon written request of the person who paid for such initial construction, or their successor in interest, if the request is made prior to the lapse of the initial ten-year or first five-year renewal period.
[Ord. No. 2020-189, 12-21-2020]
(a) 
If all conditions are met, the Town shall proportionally allocate the eligible costs of the construction to the land area on a frontage, flow capacity, drainage area, acreage or other equitable basis. The developer seeking reimbursement shall submit a proposed formula for allocation of the costs to the Town. The allocation shall be calculated on a gross acreage if allocated on a drainage area basis, and shall include all rights-of-way, stormwater facilities, parks and other private land which may be dedicated to public purposes within each tract. For sewer, the allocations and reimbursement shall be limited to a total depth over diameter capacity of the sewer main at fifty 50%. In each case, the reimbursement will be computed by prorating the construction cost, without any additional charges other than interest, against the property served by the off-premises main.
(b) 
The Town may, in its discretion, at the expense of the developer, retain a third party to confirm the reasonableness of the developer's costs of construction.
(c) 
After analysis of the foregoing, the Town may set forth the reimbursement recoverable from each benefitted offsite property in the reimbursement agreement.
(d) 
An interest component may be added to the amount that is subject to reimbursement, but shall apply to the first ten-year period only, and not to renewal periods. The interest shall be equal to that of ten-year U.S. treasury bills on the date of the completion of construction.
[Ord. No. 2020-189, 12-21-2020]
(a) 
The reimbursement contemplated herein shall be paid by the owner or developer of benefitted offsite properties prior to the approval of plans for construction of additional extensions or when service taps are requested, whichever comes first.
(b) 
The Town shall not be obligated or liable financially or otherwise for any portion of the reimbursement or for the failure of an owner or developer to pay the reimbursement.
(c) 
If the Town collects the reimbursement on behalf of the developer, the Town shall retain an administrative service charge.
[Ord. No. 2020-189, 12-21-2020]
The Town may require a developer to construct utility infrastructure as part of the developer's planned improvements for which a reimbursement agreement may apply pursuant to this Article. The Town, in its discretion, may elect to participate in utility upsizing or capacity upgrades. If the Town participates, the Town shall be responsible for the difference in material costs only to upsize the applicable utility and the reimbursements available to the developer shall be limited to the original construction planned, not to the upsizing or capacity upgrade paid for by the Town.