(A) Duty To Refund: Development impact fees shall be refunded to the fee payer, or to a successor in interest, in the following circumstances:
1. Service is available but never provided;
2. A building permit, or permit for installation of a manufactured home, is denied or abandoned;
3. The fee payer pays a development impact fee under protest and a subsequent review of the fee paid or the completion of an individual assessment determines that the fee paid exceeded the proportionate share to which the governmental entity was entitled to receive; or
4. The city has collected a development impact fee and has failed to appropriate or expend the collected fees pursuant to subsection B of this section.
(B) Failure To Encumber Trust Funds Or Commence Construction: Any development impact fees paid shall be refunded if the city has failed to commence construction of system improvements in accordance with this chapter, or to appropriate funds for such construction, within eight (8) years after the date on which such fee was paid. Any refund due shall be paid to the owner of record of the parcel for which the development impact fees were paid. The city may hold development impact fees for longer than eight (8) years if it identifies in writing: 1) a reasonable cause why the fees should be held longer than eight (8) years; and 2) an anticipated date by which the fees will be expended, but in no event greater than eleven (11) years from the date they were collected. If the city complies with the previous sentence, then any development impact fees identified in such writing shall be refunded to the fee payer if the city has failed to commence construction of system improvements in accordance with this chapter, or to appropriate funds for such construction on or before the date identified in such writing.
(C) No Refund Due:
1. Later Changes To Development: After a development impact fee has been paid pursuant to this chapter and after a certificate of occupancy has been issued, no refund of any part of such fee shall be made if the project for which the fee was paid is later demolished, destroyed, or is altered, reconstructed, or reconfigured so as to reduce the size of the project or the number of units in the project.
(D) Interest: Each refund shall include a refund of interest at one-half (½) the legal rate provided for in Idaho Code section 28-22-104 from the date on which the fee was originally paid.
(E) Timing: The city shall make a determination of whether a refund is due within thirty (30) days after receipt of a written request for a refund from the owner of record of the property for which the fee was paid. When the right to a refund exists, the city shall send the refund to the owner of record within ninety (90) days after the city determines that a refund is due.
(F) Standing: Any person entitled to a refund shall have standing to sue for a refund under the provisions of this chapter if there has not been a timely payment of a refund pursuant to subsections A through E of this section. (Ord. 2021-017, 10-11-2021)
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