HomeMy WebLinkAbout4762 Ordinance - LID No. 152 Final Assessment Roll for East UGA Sewer Expansion wExhibits&AppendiciesOrdinance Final Assessment Roll LID No. 152 - 1
ORDINANCE NO. 4762
AN ORDINANCE OF THE CITY OF PASCO, WASHINGTON,
APPROVING AND CONFIRMING THE ASSESSMENTS AND FINAL
ASSESSMENT ROLL OF LOCAL IMPROVEMENT DISTRICT NO. 152
FOR THE CONSTRUCTION OF NEW SANITARY SEWER GRAVITY
MAINS, LIFT STATION, FORCE MAINS AND OTHER SEWER
IMPROVEMENTS IN THE CITY OF PASCO EAST URBAN GROWTH
AREA (COLLECTIVELY, THE “IMPROVEMENTS”); AS PROVIDED
BY ORDINANCE NO. 4592 AND CHS. 35.43 AND 35.44 RCW;
LEVYING AND ASSESSING A PART OF THE COST AND EXPENSE
THEREOF AGAINST THE SEVERAL PARCELS OF LAND AS
SHOWN ON THE FINAL ASSESSMENT ROLL; AND PROVIDING
FOR SEVERABILITY AND AN EFFECTIVE DATE.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO,
WASHINGTON, DO ORDAIN AS FOLLOWS:
Section 1. Recitals and Findings.
1.1 The final assessment roll levying the special assessments against the property
located in Local Improvement District No. 152 in the City of Pasco, Washington,
has been filed with the City Clerk as provided by law.
1.2 Notice of the time and place of hearing to make objections and protests to the roll
was published in the manner provided by law fixing the initial time and place of
the hearing for March 3, 2025, at 7:00 p.m., local time, in the Council Chambers of
City Hall, Pasco, Washington, and further notice of the hearing was mailed by the
City to each property owner shown on the final assessment roll.
1.3 At the time and place fixed and designated, the hearing was held, all written protests
received were considered, and all persons appearing at the hearing who wished to
be heard were heard; testimony was given under oath; and testimony was subject
to cross examination. The City Council, sitting and acting as a Board of
Equalization for the purpose of considering the final assessment roll and the special
benefits to be received by each parcel of land shown upon that roll, including the
increase and enhancement of the fair market value of each parcel of land by reason
of the Improvements, considered all such protests.
1.4 Following its consideration of all such protests, the City Council directed the
preparation of this ordinance, including the Findings, Conclusions, and Decision
Regarding LID No. 152 attached hereto as Appendix A, and including the list of
hearing exhibits as Appendix B, both of which are incorporated herein by this
reference.
Ordinance Final Assessment Roll LID No. 152 - 2
Section 2. Assessment Roll Confirmation. The assessments and final assessment roll
of Local Improvement District (“LID”) No. 152, which has been created and established for the
purpose of constructing the Improvements, as provided by Ordinance No. 4592, as the same now
stands, is approved and confirmed in all things and respects in the total amount of $14,949,945.65.
Section 3. Findings.
3.1 The Findings, Conclusions and Decision Regarding LID 152, attached hereto as
Appendix A (“Decision”) and Appendix B (“List of Exhibits”) are incorporated herein
by this reference as the decision of the Council, sitting and acting as a Board of
Equalization, on the protests received by the Council regarding the final assessment
roll for LID No. 152.
3.2 Each of the several lots, tracts, parcels of land and other property within the district
shown upon the final assessment roll as determined in the Decision are declared to be
specially benefited by the LID No. 152 Improvements in at least the amount charged
against those properties, and the assessment levied against each is in proportion to the
several assessments appearing upon the roll. There is levied and assessed against each
of the several lots, tracts, parcels and other property within the district the specific
amounts entered upon the assessment roll for said properties, and against all of the
property appearing upon the roll the total amount of $14,949,945.65.
Section 4. Notice of Roll. The final assessment roll as approved and confirmed herein
shall be filed with the Finance Department Director of the City for collection, and the Finance
Department Director is authorized and directed to publish notice as required by law stating that
the roll is in the Director’s hands for collection and that payment of any assessment or any portion
of that assessment can be made at any time within thirty (30) days from the date of first publication
of that notice without penalty, interest or cost, and that thereafter the sum remaining unpaid may
be paid in equal annual installments of principal and interest. Final financing options will be
evaluated after the (30) thirty-day pre-payment period has expired, at which time the interest rate
and the terms of financing and annual installment payment amounts shall be determined by the
City Council by subsequent ordinance. The estimated interest rate is six percent (6%) per annum.
The first installment of assessments on the assessment roll shall become due and payable during
the (30) thirty-day period commencing one year after the date of first publication by the Finance
Department Director of notice that the assessment roll is in their hands for collection, and annually
thereafter each succeeding installment shall become due and payable in like manner. If the whole
or any portion of any assessment remains unpaid after the first (30) thirty-day period, interest upon
the whole unpaid sum shall be charged at the rate as determined above, and each year thereafter
one of the installments, together with interest due on the unpaid balance, shall be collected. Any
installment not paid prior to expiration of the (30) thirty-day period during which that installment
is due and payable shall become delinquent. Each delinquent installment shall be subject, at the
time of delinquency, to a charge under Pasco City Code Section 14.05.050 of a penalty levied on
both principal and interest due upon that installment equal to the rate fixed in the ordinance or
other authorization for the issuance and sale of the local improvement bonds for Local
Improvement District No. 152, plus five percent (5%). All delinquent installments also shall be
Ordinance Final Assessment Roll LID No. 152 - 3
charged interest at the rate as determined above. The collection of delinquent installments shall be
enforced in the manner provided by law.
Section 5. Severability. If any section, subsection, sentence, clause, phrase or word
of this ordinance should be held to the invalid or unconstitutional by a court of competent
jurisdiction, such invalidity or unconstitutionality thereof shall not affect the validity or
constitutionality of any other section, subsection, sentence, clause phrase or word of this ordinance.
Section 6. Corrections. Upon approval by the city attorney, the city clerk or the code
reviser are authorized to make necessary corrections to this ordinance, including but not limited
scrivener’s errors or clerical mistakes; reference to other local, state, or federal laws, rules, or
regulations; or numbering or referencing of ordinances or their sections and subsections.
Section 7. Effective Date. This ordinance shall take full force and effect five (5) days
after approval, passage and publication as required by law.
PASSED by the City Council of the City of Pasco, Washington, on this 3rd day of March,
2025.
_____________________________
Pete Serrano
Mayor
ATTEST: APPROVED AS TO FORM:
_____________________________ ___________________________
Debra Barham, CMC ___________________________
City Clerk Foster Garvey P.C.
Published: _____________________________
P. Stephen DiJulio
Sunday, March 9, 2025
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City of Pasco February 5, 2025
East UGA LID
Final Assessments
East UGA LID Project Cost Estimate 20,658,671.37$
Name Parcel No. Lot Count
Area
(acres)
Peak Hour
Flow
(gpm)
Hybrid Charge: 60%
Flow, 40% Area Adjustments Adjusted Assessment
J-14, LLC 114330031 596 158.2 230.9 2,324,871.46$ -$ 2,324,871.46$
STRIZHAK'S HAVEN RANCH LLC 114330041 155 41.2 60.2 605,951.32$ -$ 605,951.32$
PRO MADE CONSTRUCTION LLC 114330042 154 40.9 59.7 601,100.18$ -$ 601,100.18$
GS CATTLE RANCH LLC 114330043 231 40.7 89.6 780,992.36$ -$ 780,992.36$
SG LAND MANAGEMENT LLC 114330044 230 40.9 89.1 778,462.70$ -$ 778,462.70$
COLUMBIA WATERS FARM LLC 115010032 1,039 223.8 444.2 3,999,464.62$ -$ 3,999,464.62$
SINGH (ETUX), JASBIR 115130046 38 10.2 14.8 149,503.27$ -$ 149,503.27$
SINGH (ETUX), JASBIR 115130055 38 10.2 14.8 149,503.27$ -$ 149,503.27$
PUD #1 (FRANKLIN COUNTY)124680038 0 6.7 0.0 39,381.79$ -$ 39,381.79$
DARIGOLD, INC 124680044 0 149.5 95.0 1,452,799.96$ (1,000,000.00)$ 452,799.96$
FARM 2005 LLC 114250018 461 130.7 168.3 1,785,036.67$ (100,000.00)$ 1,685,036.67$
BIG SKY DEVELOPERS LLC 114330053 36 6.0 13.9 119,703.09$ (3,600.00)$ 116,103.09$
BIG SKY DEVELOPERS LLC 114330054 25 6.2 9.7 94,897.60$ (2,500.00)$ 92,397.60$
BIG SKY DEVELOPERS LLC 114330052 189 29.8 73.2 617,287.96$ (18,900.00)$ 598,387.96$
BIG SKY DEVELOPERS LLC 114330051 250 40.3 96.8 822,131.37$ (25,000.00)$ 797,131.37$
PASCO SCHOOL DISTRICT NO. 1 114330059 0
PASCO SCHOOL DISTRICT NO. 1 114330060 0
LID Landowner Totals ------1,017.4 1,484.4 14,949,945.65$ (1,111,262.58)$ 13,838,683.07$
City Oversize Contribution ------388.5 566.8 5,708,725.72$ 55,709.54$ 5,764,435.26$
Totals ------1,405.9 2,051.3 20,658,671.37$ (1,055,553.04)$ 19,603,118.33$
82.2 24.1 628,858.03$ 38,737.42$ 667,595.45$
EXHIBIT B
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LID No. 152 FINDINGS AND CONCLUSIONS – 1
APPENDIX A and
APPENDIX B
TO
ORDINANCE NO. _____
IN THE MATTER OF THE FINAL
ASSESSMENT ROLL – LOCAL
IMPROVEMENT DISTRICT NO. 152
(East Urban Growth Area Expansion Sewer)
FINDINGS OF FACT AND
CONCLUSIONS OF LAW
APPENDIX A
A hearing in the above-captioned matter was held on March 3, 2025 in Pasco,
Washington before the City Council of the City of Pasco (“City”), sitting as a Board of
Equalization (“Board”). Having considered the evidence and argument presented and being
otherwise fully advised, the Board enters the following.
1. FINDINGS OF FACT
1.1 On January 6, 2025, at a regular open meeting, the City Council set the date and
time for the hearing on the final assessment roll for March 3, 2025, commencing at 7:00 p.m.
local time at Pasco City Hall. Notices of assessment were timely mailed to property owners
within Local Improvement District No. 152 (“LID” or “LID 152”) on February 10, 2025.
1.2 The history of LID 152 dates to 2022. A number of organizational and
informational meetings were conducted with property owners in the vicinity of the proposed LID
beginning in February of 2022. Resolution No. 4174 fixed May 23, 2022, at 7:00 p.m., local
time, at City Hall as the time and place for hearing all matters relating to the proposed
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LID No. 152 FINDINGS AND CONCLUSIONS – 2
improvement and all comments thereon and objections thereto and for determining the method of
payment for the improvement (the “Formation Hearing”).
1.3 Prior to the Formation Hearing, the Capital Improvement Program Manager
caused an estimate to be made of the cost and expense of the proposed improvements and
certified that estimate to the City Council, together with all papers and information in his
possession touching the proposed improvement, a description of the boundaries of the proposed
local improvement district and a statement of what portion of the cost and expense of the
improvement should be borne by the property within the proposed district. The CIP Manager’s
estimate was accompanied by a diagram of the proposed improvement showing thereon the lots,
tracts, parcels of land, and other property which will be specially benefited by the proposed
improvement and the estimated cost and expense thereof to be borne by each lot, tract and parcel
of land or other property.
1.4 Following the Formation Hearing, on May 23, 2022 the City Council by
Ordinance No. 4592 ordered the improvements within the District in the form of a full sanitary
sewer construction, including new sanitary sewer gravity mains, a lift station, force mains, and
other sewer improvements and appurtenances in the City’s East Urban Growth Area
(collectively, the “Improvements”). The Improvements would provide service consistent with
previously adopted City’s Sewer Comprehensive Plan. Ordinance No. 4592 also formed LID
152, estimated the Improvements’ cost, and authorized interim and bond financing.
1.5 See Ordinance No. 4592.
1.6 The final assessment roll hearing commenced at approximately 7:00 on March 3,
2025. Mayor Serrano Presided at the hearing. City Attorney Eric Ferguson, advised the Board.
Steve DiJulio and Bob C. Sterbank, Foster Garvey PLLC, represented the LID.
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1.7 The total project cost of the Improvements constructed by the LID is
$20,658,671.37. The City contributed $5,764,435.26 to the cost of Improvements. The Final
Assessment Roll levies assessments totaling $14,949,945.65 (for collection:13,838,683.07).
1.8 No written protests to the proposed final assessment roll (or “Roll”) were filed
with the Board prior to or at the hearing on the Roll.
1.9 City staff testimony was received from Maria Serra, P.E., Public Works Director;
Ryan Withers, P.E., Project Manager with RH2 Engineering, the City’s consultant; and Evan
Ranes, MAI, ASA, R/W-AC of Colliers International Valuation & Advisory Services, also a City
consultant. All testimony was under oath or affirmation and subject to cross examination.
1.10 The fair market value of the properties specially benefited by LID 152
Improvements has been increased in an amount equal to or greater than the proposed
assessments. As supported by the Special Benefit Analysis report, dated February 7 ,2025
produced by Colliers International Valuation & Advisory Services and authored by Evan Ranes,
MAI, ASA, R/W-AC the value of the property within the LID without the Improvements is
$48,580,000; and, with the improvements, $73,470,000. The Improvements create a special
benefit to the properties within the LID of $24,890,000. The amount assessed against the LID
properties is $14,949,945.65 (for collection: 13,838,683.07).
1.11 In arriving at the final assessment for each property, the LID employed a
mathematical method based on the sewer flow contribution and area (in acres) of the properties
within the LID. The Board expressly finds that the assessment approach utilized for the LID
more thoroughly, fairly and correctly reflects the special benefits to each property within
LID 152 flowing from and attributable to the Improvements constructed, than would an
assessment based on the “zone and termini” or “per square foot” statutory methodologies. The
hybrid, mathematical methodology used for the LID 152 final assessment roll allows appropriate
consideration of the differences among the properties’ special benefits based on their size, and
LID No. 152 FINDINGS AND CONCLUSIONS – 3
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LID No. 152 FINDINGS AND CONCLUSIONS – 4
amount of sewer flow accommodated by the Improvements) within the LID, and ratably
apportions the Improvements’ cost on that basis.
1.12 Additionally, the assessment methodology employed by the City ensures similarly
situated properties within the LID are proportionally assessed to one another.
1.13 Based on the testimony and the Special Benefit Analysis report, the Board finds
that the properties are specially benefitted as set forth on the final assessment roll for LID 152 as
filed at the hearing, and are assessed proportionally and ratably for the LID 152 Improvements.
1.14 Any conclusion of law hereinafter set forth which may be deemed to be a finding
of fact is hereby adopted as such.
2. CONCLUSIONS OF LAW
2.1 From the above findings of fact and the record before the Board, the following
conclusions are adopted.
2.2 If a City employs a method of LID assessment other than the “zone and termini”
method provided by statute, a finding must be made, supported by the record, that the alternate
method more fairly reflects the special benefit resulting from the improvement. RCW 35.44.047;
See also Bellevue Plaza v. Bellevue, 121 Wn.2d 397 (1993). The basis for choosing an alternate
method is satisfied by slight evidence supporting the fairness of the method chosen. Hansen v.
LID, 54 Wn. App. 257, 261-62 (1989). Here, the record has the requisite finding based on
substantial and unchallenged evidence in the hearing record in support of the assessment
methodology.
2.3 The City may, but need not, pay for part of the cost of the Improvements. See
RCW 35.44.020. The City may also assess against the properties specially benefited “in whole”
the cost of the Improvements, so long as the cost does not exceed the special benefits to the
properties within the LID.
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LID No. 152 FINDINGS AND CONCLUSIONS – 5
2.4 Any Finding of Fact hereinbefore stated which may be deemed to be a Conclusion
of Law is hereby adopted as such.
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LID No. 152 FINDINGS AND CONCLUSIONS – 6
APPENDIX B
EXHIBITS
To
LID 152 FINAL ASSESSMENT ROLL
A.Map – Local Improvement District 152 – Area/Parcels included.
B.Ordinance 4592 – Ordering the improvement of the Northwest Area Sewer and
establishing Local Improvement District No. 152.
C.Property Owner – Notice of Hearing on Final Assessment Roll Local Improvement
District No. 152 – Mailed to property owners February 10, 2025.
D.Affidavit of mailing – Dated February 10, 2025.
E.Notice of Hearing – Hearing on Final Assessment Roll – Published in the Tri-City Herald
on February 5, 2025 and February 12, 2025.
F.Affidavit of Publication – Hearing on Final Assessment Roll – Noticed in the Tri-City
Herald on February 5, 2025 and February 12, 2025.
G.East UGA Expansion LID Valuation Report for the City of Pasco LID Project #152 – Colliers
International Valuation & Advisory Services, dated February 7, 2025.
H.Staff Report and PowerPoint presentation to Council at the March 3, 2025 hearing.
I.Current WA ST Certified General Real Estate Appraiser License for Evan Ranes