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HomeMy WebLinkAboutORD2025-011 Developer Incentive and Reimbursement ProgramSponsored: Sorensen Introduction: August 11, 2025 Public Hearing: August 25, 2025 Enactment: August 25, 2025 CITY OF SEWARD, ALASKA ORDINANCE 2025-011 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AMENDING SEWARD CITY CODE, TITLE 5 REVENUE AND FINANCE, CHAPTER 5.22 DEVELOPER INCENTIVE AND REIMBURSEMENT PROGRAM, 5.22.075 APPLICATION REQUIRED, 5.22.085 APPLICATION CONTENT, AND 5.22.095 APPROVAL PROCESS WHEREAS, the Developer Incentive and Reimbursement Program (DRP) has been very successful and helped increase the number of available residential lots in the City of Seward; and WHEREAS, on June 23, 2025 City Council and Administration discussed how to improve the process and Council asked Administration to present changes to reflect those discussions; and WHEREAS, the code revisions and changes to the DRP in this ordinance align with Council's direction from the meeting on June 23. NOW, THEREFORE, THE CITY OF SEWARD ORDAINS that: Section 1. Seward City Code Title 5.22.075 Application Requirements is hereby amended to read as follows (new language is in bolded italics and underlined, and deleted language is stricken): 5.22.075 Application required. A. In order to be eligible for consideration for reimbursement, the developer must submit the required application prior to beginning work on any utility extension to the undeveloped property. Applications may be submitted at any time, even when funding is not currently available. B. The application must be completed in full and turned into the City Clerk paid in full. C. The `ity clerk :dill submit µ notice of fling to the .+ppl:c.,nt and th_ city mµ ger :_thin ten the a„plic.,tio., gne and date nd the ..ppl:catio„ f e hat b en pai i., full. The Ci Clerk will notify administration of the submitted application. Administration and the clerk will review the application and confirm the application is complete within 10 business days. If the application is incomplete, the applicant will be notified Complete applications will be put on file until at which time a work session with council is scheduled to review applications. CITY OF SEWARD, ALASKA ORDINANCE 2025-011 Page 2 of 3 5.22.085 Application content. The developer's application shall include the following: A. A statement of the properties owned by the developer. B. The total estimated cost of installation of the improvement. C. Disclosure of any outstanding liabilities owed to any public utilities, contractors or other persons on or regarding the property. D. Disclosure of any violations regarding safety, health, or land use laws applying to the subject property. E. Details regarding the purpose and use of developer's property and the ways in which the use promotes the public interest and complies with the city comprehensive plan. F. Previous Developer Reimbursement Program participation information. FG. A statement by the developer that the city council may reimburse all, none or a portion of the pro -rated share of the improvements under Title 5 and the developer accepts the developer's obligation to pay the pro -rated share of the assessment. H. The developer signs and dates the application 5.22.095 Approval process. A. The city manager should shall submit a timely written memorandum to council, which includes B. a work session request, all of the developer applications, and the available DRP fund balance. After the work session, when there are potentially unencumbered funds available, the city manager should shy prepare a resolution(s) for council consideration. 1. The reimbursement amount; 2. The estimated project amount; and C. Council may shall approve the application and determine, the amount of reimbursement, by resolution. D. Council's decision to enact' legislation to approve the application, including the failure to enact legislation approving the application is a discretionary legislative decision. reject or 1 CITY OF SEWARD, ALASKA ORDINANCE 2025-011 Page 3 of 3 E. If the application is accepted, the developer must pay the filing fee established on the application. 5.22.115 Reimbursement. A. No more than two regularly scheduled council meetings after the city manager receives the completion report from the developer, the city manager should shall submit a reimbursement request to the finance department for the amount approved by council listed i„ the oved lion. B. If the final amount of the project exceeds the amount listed in the approving legislation and the developer provides a written explanation of the increased costs, the city manager should shall prepare a second piece of legislation for council consideration. The legislation should shall include: 1. The final project amount; and 2. An additional appropriation of funds. C. Council n.ciE shall adopt or deny the city manager's recommendation. D. Council's decision to reject or accept the recommendation is a discretionary legislative decision sha1 be the fna, aecisio., by the city (Ord. No. 2022-005, § 1, 2-28-2022) Section 2. This ordinance shall take effect ten days upon enactment. ENACTED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, the 25th day of August 2025. AYES: NOES: ABSENT: ABSTAIN: ATTEST: THE CITY OF SEWARD, ALASKA Sue McClure, Mayor Barnwell, Wells, Osenga, Warner, Crites, McClure None Finch None Kris Peck City Clerk (City Seal) City Council Agenda Statement Meeting Date: August 25, 2025 To: City Council Through: Kat Sorensen, City Manager From: Jason Bickling, Deputy City Manager Subject: Ordinance 2025-011: Amending Seward City Code, Title 5 Revenue and Finance, Chapter 5.22 Developer Incentive and Reimbursement Program, 5.22.075 Application Required, 5.22.085 Application Content, and 5.22.095 Approval Process Background and justification: To continue to evolve and meet the needs of the city and developers, the DRP requires some refinement to improve the process. Currently, applications are only allowed when funds are available, and the onus is on the City Manager to make recommendations to Council regarding DRP applications including the reimbursement amount and appropriation of funds. Additionally, when an application is received, that triggers a legislative clock by which decisions must be made. These code changes will increase collaboration with Council on DRP decisions, improve transparency, and make the process more efficient. The DRP application and code revisions will: • Allow developers to submit applications while the DRP is closed, which will demonstrate program demand and indicate when to open the program • Consider applications based on community need, as determined by Council and Administration • Initiate Council work sessions with developers to create a collaborative process to determine funding for projects • Require legislation be brought forward in the form of a resolution to disburse funds and to set up an improvement district, if required Comprehensive and Strategic Plan Consistency Information This legislation is consistent with (citation listed): Comprehensive Plan: Vol 1, Chapter 3.3 — Housing • 3.3.1.2 — "Create incentives to provide land for housing development within the City of Seward." Strategic Plan: Other: NA NA Total amount of funds listed in this legislation: This legislation (✓): Creates revenue in the amount of: Creates expenditure in amount of: Creates a savings in the amount of: Has no fiscal impact Funds are (✓): Budgeted Line item(s): Not budgeted Not applicable Affected Fund (✓): General Boat Harbor Motor Pool Available Fund Balance Yes $ 0 SMIC Parking Other Electric Water Wastewater Healthcare Note: amounts are unaudited Finance Director Signature: Attorney Signature: /s/ Rob Palmer Not applicable Comments: Administration Recommendation Enact Ordinance Other: