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HomeMy Public PortalAbout2015_01_27_O001 Amending Chap 34 of the TC re Financing of Water and Sewer Availability Fees The Town of Leesburg, PRESENTED: January 27, 2015 ORDINANCE NO. 2015-0-001 ADOPTED: January 27, 2015 AN ORDINANCE: AMENDING CHAPTER 34 (UTILITIES), ARTICLE II (WATER SYSTEM), DIVISION 1 (GENERALLY), SECTION 34-29 (AVAILABILITY CHARGES FOR WATER SERVICE) AND CHAPTER 34 (UTILITIES), ARTICLE III (SEWERS AND SEWAGE DISPOSAL), DIVISION 1 (GENERALLY), SECTION 34-127 (AVAILABILITY CHARGE FOR SEWER SERVICE) WHEREAS,the Code of Virginia of 1950, as amended, § 15.2-2119 allows the Town Council to set water and sewer availability fees; and WHEREAS,the town code currently authorizes the financing of water and sewer availability fees which is advantageous to commercial property owners and perspective tenants; and WHEREAS, Council has recommended amendments to Town Code §§ 34-29 and 34-127 regarding financing of water and sewer availability fees in order to allow additional customers the benefit of financing; and WHEREAS, staff has reviewed and presented the current process and eligibility of financing of availability fees; and WHEREAS, the Town Council held a public hearing on January 27, 2015 to consider these amendments to the Town Code. THEREFORE, ORDAINED by the Council of the Town of Leesburg in Virginia as follows: SECTION I. § Sec.34-29. -Availability charges for water service. (b) The water connection and water service availability fees shall be paid prior to the issuance of a zoning permit or,where no zoning permit is required, before extension of water service to any new or additional use on the premises,provided however that in the event the availability fee per connection is in excess of$10,000.00 current minimum commercial fee,the amount owed exceeding$14,080.08 current minimum commercial fee may be paid in installments pursuant to a contract that has been approved by the town manager. Such contract shall coincide with a commercial 2- AN ORDINANCE: AMENDING CHAPTER 34 (UTILITIES), ARTICLE II (WATER SYSTEM), DIVISION 1 (GENERALLY), SECTION 34-29 (AVAILABILITY CHARGES FOR WATER SERVICE) AND CHAPTER 34 (UTILITIES), ARTICLE III (SEWERS AND SEWAGE DISPOSAL), DIVISION 1 (GENERALLY), SECTION 34-127 (AVAILABILITY CHARGE FOR SEWER SERVICE) lease but for not more than 60 monthly installments and shall provide for interest to be paid on the unpaid balance at the legal judgment rate or six--prime plus three(3) percent per annum,whichever is greater less. Surety to the satisfaction of the town manager shall be required. The unpaid principal may be paid in full without penalty at any time. If any installment is not paid when due,the entire remaining balance shall be immediately due and payable. The town manager shall discontinue water service to the premises for which the fees required in this article remain unpaid for ten days from the date of notice of the amount of such fees to the owner or contract holder. Should the water service availability fee be delinquent, any sums paid on the account for any charges shall be applied to the availability fee charge first,then any remaining balance to other charges. § 34-127. -Availability charge for sewer service. (b) The sewer connection and sewer service availability fees shall be paid prior to the issuance of a zoning permit or, where no zoning permit is required, before extension of sewer service to any new or additional use on the premises,provided however that in the event the availability fee per connection is in excess of X000.00 current minimum commercial fee,the amount owed exceeding$57000.00 current minimum commercial fee may be paid in installments pursuant to a contract that has been approved by the town manager. Such contract shall coincide with a commercial lease but for not more than 60 monthly installments and shall provide for interest to be paid on the unpaid balance at the legal judgment rate or six-prime plus three(3) percent per annum, whichever is greater less. Surety to the satisfaction of the town manager shall be required. The unpaid principal may be paid in full without penalty at any time. If any installment is not paid when due,the entire remaining balance shall be immediately due and payable. The town manager shall discontinue sewer service to premises for which the fees required in this article remain unpaid for ten days from the date of notice of the amount of such fees to the owner or contract holder. Should payment not be made on said contract ten percent of the monies paid to the town for water and sewer service shall be applied to the availability fee contract until such contract is paid in full. Should the sewer service availability fee be delinquent, any sums paid on the account for any charges shall be applied to the availability fee charge first, then any remaining balance to other charges. SECTION II. All prior ordinances in conflict herewith are hereby repealed. 3- AN ORDINANCE: AMENDING CHAPTER 34 (UTILITIES), ARTICLE II (WATER SYSTEM), DIVISION 1 (GENERALLY), SECTION 34-29 (AVAILABILITY CHARGES FOR WATER SERVICE) AND CHAPTER 34 (UTILITIES), ARTICLE III (SEWERS AND SEWAGE DISPOSAL), DIVISION 1 (GENERALLY), SECTION 34-127 (AVAILABILITY CHARGE FOR SEWER SERVICE) SECTION III. This ordinance shall become effective upon passage. SECTION IV. If any provision of this ordinance is declared invalid,the decision shall not affect the validity of the ordinance as a whole or any remaining provisions of the ordinance. PASSED this 27th day of January, 2015. CN\ — ; IC`rigt- Jr' . U stand, Mayor Town of Leesburg ATTF T• �� 1 er of Coun- P:\Ordinances\2015\0127 Amending the TC re Financing of Water and Sewer Availability Fees.doc