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HomeMy WebLinkAboutRESO 5071.. • that • .ML:KIJ:v 1-10-75-60 ORIGINAL · RESOLUTION N0._.5071 _ A RESOLUTION REQUIRING PAYMENT OF A SPECIAL SEWERAGE CONNECTION CHARGE, IN ADDITION TO OTHER CONNECTION CHARGE<;, FOR PROPERTIES BENEFITED BY A SEWER WHICH HAVE NOT PARTICI- PATED IN PAYING THE COST THEREOF, AND ESTABLISHING PROCEDURES FOR PAYMENT RESOLVED, by the Council of the City of Palo Alto, California WHEREAS, certain real properties benefited by the sanitary sewerage system and related-facilities of the City of Palo Alto which have not participated in paying the cost of constructing such sewer either by private financing or special assessment and bond proceedings. are in need of sanitary sewerage service, and the owners of said properties now or may hereafter desire to have such service; and WHEREAS, pursuant to Section 12.20.010 of the Palo Alto Municipal - Code; the Council is authorized to-establish by resolution, rules and regulations governing utility ser~iccs, including sewers, and the fees and charges therefor. NOW, THEREFORE, IT IS ORDERED as follows: 1. Rates. A special charge for the privilege of connecting to the sanitary sewerage system of the City is herp~y duly established. Said charge is payable by the owner of any parcel of property fronting on a sanitary sewer (herein called "the Facility11 ) which is not now connected to the sanitary sewerage system of the City and which did not participate in the cost of coristruction of the Facility, either by special assessment proceedings, private firiancin(J by develooers or otherwise. Paymf:n~ of City ad valorem taxes or other general charges related to the City sewer system shall not be deemed to be participation in the cost of the Facility. 2. Amount. Said charge shall be computed in e~ch case by the Director of Public Works and shall be based on the amount whi:h would .. • • have been payable by said parcel if it had participated in the financing of the Facility at tne ti~e of its construction, plus the fees and costs identified in Section 8. 3. Collection of Connection Charges. Said charge shall be payable in cash at or p~ior to connection or $25. cash and the balance paid in equal annual installments over a period of not to exceed fifteen (15) years, at the option of the owner. 4. Installments--Interest Payable. In the event that said connection charges become payable in installments, the unpaid balance of such charges shall bear annual interest at the net effective interest rate then being paid on bonds issued and sold fur the construct~on of the Facility. If no such bonds have been issued, the interest rate shall be seven and one-half percent (7-1/2%). 5. Billing and Payment. Bills for installments of principal and interest shall be sent by the City Controller to the owner of record annually between January 1 and January 31. Said bills shall cover the ensuing calendar year providing the first bill shall include the pro-rated portion of the preceding year from date of connection to December 31. Principal balances unpaid after June 30 shall bear accrued additional interest charges of one percent (1%) per month until paid. 6. Period of Payment. The installment period shall be determined with reference to the principal amount of said charge, as follows: Principal Amount of Charge $ 50 499 500 1,499 1,500 up -2 - Payment Period 5 years 10 years 15 years .. .. • • 7. Promissory Note. The obligation to pay the charge shall be evidenced by a promissory note secured by a deed of trust, executed by the property owner desiring connection as trustor. Said deed of trust shall be in standard form customarily used in real estate transactions, and shall, i11111ediately upon execution, be recorded in the office of the County Recorder of Sant,1 Clara County, Californh. Tn the event of stile or transfer of said property, the unpaid balance of promissory note shall become due and payable from proceeds of escrow. 8. Costs. All costs, including documentary stamo transfer taxes, recordation costs, and costs necessary or convenient in executing a deed of trust dnd administering same by a disinterested trustee, shall be included in the amount of the charge. 9. Documents. In the event that connection charges shall become payable in installments, the Director of Public Works will transmit to the City Controller a statement showing the computation of the principal amoun~ to be collected in instal lrnents. : copies of the promissory note and deed of trust.and such other information necessary to initiate bi 11 i ng. 10. The special charge herein provided for shall be in addition to and not excuse the payment of, all other charges duly established by the City in connection with or related to its sanitary sewerage and sewage disposal systen. I hereby certify that the foregoing is a full~ true, and correct copy of a resolution duly passed and adopted by the Council. of the City of -3 - . . ' . . • • • Palo Alto, California, at a meeting thereof held on the 1..1.tlLday of March , 1975, b_v the following vote of tie members thereof: ___ ;.,_ ___ _ AYES, and in favor thereof, Councilmen:Beahrs, Berwald, Clay, Comstock, Henderson, Norton, Pearson, Rosenbaum, Sher NOES, Councilmen: None ASSENT, CouncilmenNone APPROVED: ~vSL. Mayor __ _ APPROVED: -4 - /-~--:~"'\. ~-('r.=.t· f•f r..) 10•\e.5 ~