A. Exemptions: The following shall be exempted from payment of the connection fee:
1. Alterations or expansion of an existing building where no additional or larger water and/or sewer connections are requested and where the use is not changed.
2. The replacement of a building or structure with a new building or structure of the same size and use where no additional or larger water and/or sewer connections are requested and where the use is not changed.
3. The installation of a replacement manufactured home on a lot or other such site when a water and/or sewer capital facilities connection fee for such manufactured home site has previously been paid pursuant to this chapter or where a manufactured home legally existed on such site on or prior to the effective date hereof.
4. Any claim of exemption must be made no later than the time of application for a building or manufactured home placement permit. Any claim not so made shall be deemed waived.
B. Disconnection: No exemption will exist where water and/or sewer services have been disconnected either: 1) physically for six (6) months or more, or 2) after notice, as indicated on the city records.
C. Credit Or Reimbursement:
1. Request For Credit By Fee Payer: Water and sewer facilities capital improvements may be offered by the fee payer as total or partial payment of the required connection fee. The fee payer must request a water and sewer facilities connection fee credit. If the city council accepts such an offer, the credit shall be determined and provided in the following manner:
a. Valuation: Credit for the dedication of land shall be valued:
(1) At one hundred percent (100%) of the most recently assessed value by the Latah County appraiser;
(2) By such other appropriate method as the city council may have accepted prior to the effective date hereof for particular water and sewer facilities improvement; or
(3) By fair market value established by private appraisers acceptable to the city.
Credit for the dedication of water and sewer facilities land shall be provided when the property has been conveyed at no charge to, and accepted by, the city or county in a manner satisfactory to the city council.
b. Construction Of Water And Sewer Facilities Improvements:
(1) Submission Of Documents: Applicants for credit for construction of water and sewer facilities improvements shall submit acceptable engineering drawings and specifications, and construction cost estimates to the city.
(2) Council Determination: The city council shall determine credit for construction based upon either these cost estimates or upon alternative engineering criteria and construction cost estimates if the city council determines that such estimates submitted by the applicant are either unreliable or inaccurate.
(3) Issuance Of Letter Or Certificate: The city clerk shall provide the applicant with a letter or certificate setting forth the dollar amount of the credit, the water and sewer facilities connection fee component(s) to which the credit will apply, the reason for the credit, and the legal description or other adequate description of the project or development to which the credit may be applied.
(4) Return Of Signed Letter Or Certificate: The applicant must sign and date a duplicate copy of such letter or certificate indicating his agreement to the terms of the letter or certificate and return such signed document to the city clerk before credit will be given.
(5) Failure To Return: The failure of the applicant to sign, date, and return such document within sixty (60) days shall nullify the credit.
c. Credit Against Connection Fees: Except as provided in subsection C1d of this section, credit against connection fees otherwise due will not be provided until:
(1) The construction is completed and accepted by the city; or
(2) A suitable maintenance and warranty bond is received and approved by the city clerk, when applicable.
d. Credit Applied Before Completion:
(1) Adequate Security Posted: Credit may be provided before completion of specified water and sewer facilities improvements if adequate assurances are given by the applicant that the standards set out in subsection C1c of this section will be met and if the fee payer posts security as provided below for the costs of such construction. Security in the form of a performance bond, irrevocable letter of credit, or escrow agreement shall be posted with and approved by the city clerk in an amount determined by the city council.
(2) Increase In Security: If the water and sewer facilities construction project will not be constructed within one year of the acceptance of the offer by the city, the amount of the security shall be increased by ten percent (10%) compounded for each year of the life of the security.
(3) Review And Approval By City: The security shall be reviewed and approved by the city council prior to acceptance of the security by the city clerk. If the water and sewer facilities construction project is not to be completed within one year of the date of acceptance of the fee payer's offer, the city council must approve the water and sewer facilities construction project and its scheduled completion date prior to the acceptance of the offer by the city clerk.
2. Request For Credit Consideration: Any request for credit consideration must be made no later than the time of application for connection. Any claim not so made shall be deemed waived.
3. Transfer Of Credits:
a. Credits shall not be transferable from one project or development to another without the approval of the city council.
b. Credits shall not be transferable from one component of the water and sewer facilities connection fee to another component of this fee. (Ord. 660, 3-12-1996)