HomeMy WebLinkAboutORD 2019-01 - Special Districts MUDsORDINANCE NO. & O I 1— O 1
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GEORGETOWN,
TEXAS, AMENDING CHAPTER 3, APPLICATIONS AND PERMITS, CHAPTER
13, INFRASTRUCTURE AND PUBLIC IMPROVEMENTS, AND CHAPTER 16,
DEFINITIONS, OF THE UNIFIED DEVELOPMENT CODE (UDC) RELATING TO
DEVELOPMENT AGREEMENTS AND SPECIAL DISTRICTS; REPEALING
CONFLICTING ORDINANCES AND RESOLUTIONS; INCLUDING A
SEVERABILITY CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, on March 11, 2003, the City Council of the City of Georgetown, Texas, adopted
a set of comprehensive development regulations known as the Unified Development Code
("UDC") via Ordinance No. 2003-16, which codified various zoning and subdivision standards;
and
WHEREAS, the City Council established a UDC Advisory Committee on November 12,
2013, to review proposed or requested amendments to the UDC other than executive
amendments, which are those amendments that are nondiscretionary, mandatory, or legislative
revisions to address state statutes or case laws, ratify published directors determinations,
incorporate recently approved Council ordinances, process City Council designated emergency
items, or address revisions otherwise determined necessary by legal counsel; and
WHEREAS, the City Council adopted Resolution 042418-X on April 24, 2018, adopting the
Unified Development Code (UDC) General Amendments List for 2018/19; and
WHEREAS, amendments relating to Development Agreements and Special Districts was
identified as Priority 1 in the 2018/19 UDC General Amendments List; and
WHEREAS, the UDC Advisory Committee conducted a Public Hearing on the proposed
amendment at their November 14, 2018 regular scheduled meeting, and recommended approval
of the amendment to the City Council; and
WHEREAS, the Planning and Zoning Commission conducted a Public Hearing on the
proposed amendment at their December 4, 2018 regular scheduled meeting, and recommended
approval of the amendment to the City Council.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
GEORGETOWN, TEXAS, THAT:
ORDINANCE NO. V l I- Q 1 PAGE 1 OF 2
DESCRIPTION: SPECIAL DISTRII- 1",i MUDS (AMENDMENT NO. 81 EXHIBIT "A"
DATE APPROVED: iANUARY_8,_2019
SECTION 1: The facts and recitations contained in the preamble of this Ordinance are hereby
found and declared to be true and correct, and are incorporated by reference herein and expressly
made a part hereof, as if copied verbatim. The City Council hereby finds that this Ordinance
implements the vision, goals, and policies of the Georgetown 2030 Comprehensive Plan and
further finds that the enactment of this Ordinance is not inconsistent or in conflict with any other
policies or provisions of the 2030 Comprehensive Plan.
SECTION 2: Chapter 3, Applications and Permits, Chapter 13, Infrastructure and Public
Improvements, and Chapter 16, Definitions, are hereby amended as described in EXHIBIT A.
SECTION 3: All ordinances and resolutions, or parts of ordinances and resolutions, in conflict
with this Ordinance are hereby repealed, and are no longer of any force and effect.
SECTION 4: If any provision of this Ordinance, or application thereof to any person or
circumstance shall be held invalid, such invalidity shall not affect the other provisions, or
application thereof, of this Ordinance which can be given effect without the invalid provision or
application, and to this end the provisions of this Ordinance are hereby declared to be severable.
SECTION 5: The Mayor is hereby authorized to sign this Ordinance and the City Secretary to
attest. This Ordinance shall become effective in accordance with the provisions of State Law and
the City Charter of the City of Georgetown.
APPROVED on First Reading this 11 day of December, 2018.
APPROVED AND ADOPTED on Second Reading this 8 day of January, 2019.
THE CITY OF GEORGETOWN:
r�
Dale Ross
Mayor
APPROVED AS TO FORM:
Charlie McNabb
City Attorney
ORDINANCE NO. aw l - o
DESCRIPTION: SPECIAL DISTRICTS: MUDS (AMENDMENT NO, 8)
DATE APPROVED: JANUARY 8,_2019
ATTEST:
Shelley Nli
City Secretary
PAGE 2 OF 2
EXHIBIT "A"
Special Purpose Districts (i.e. MUDs) EXHIBIT A
UDC Amendment No. 8 Printed on Nov. 28, 18
SECTION 3.20. - DEVELOPMENT AGREEMENT
Sec. 3.20.010. - Applicability.
B. This section shall apply to any new agreement and any amendments thereto, as well as to any
amendments to an existing Development Agreement,
EkSt E
Note: New section 3.26, Request for Creation of a Districts is hereby created as follows:
SECTION 3.26. REQUEST FOR CREATION OF A MUNICIPAL UTILITY DISTRICT (MUD),
WATER CONTROL AND IMPROVEMENT DISTRICT (WCID) OR FRESH WATER SUPPLY
DISTRICT (FWSD)
Sec. 3.26.010. - Applicability.
The review process in this section establishes the process and procedures for requesting a
Municipal Utility District ("MUD"), Water Control and Improvement District ("WCID"), Fresh
Water Supply District ("FWSD"), or similar political subdivision ("District") in accordance with
Section 13.10.010 of this Code.
Sec. 3.26.020. - Review Process.
A. Initiation.
Initiation of a request for the creation of a District may be made upon application of a property
owner or their authorized agent.
B. Application for Completeness Determination.
The applicant shall provide a complete application with the material and supporting information
outlined in the Development Manual. The Planning Director, or designee, is responsible for
checking that a complete application has been submitted with all material necessary for the City
Council to render an informed decision.
C. Staff Review.
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Special Purpose Districts (i.e. MUDs) EXHIBIT A
UDC Amendment No. 8 Printed on Nov. 28, 18
1. Upon receipt of a complete application, the cross -departmental "Special Purpose District
Petition Review Team" shall analyze the proposed development and its potential impact
on facilities and services. The Special Purpose District Petition Review Team shall be
comprised, at a minimum, of members of the Planning, Utility, Finance, Parks and
Recreation and Public Safety departments, and the City Attorney's Office.
2. The Special Purpose District Petition Review Team shall review the application, consider
the approval criteria, and assign a Case Manager to lead the review and prepare a report
to the Planning and Zoning Commission and/or appropriate board or commission, and
City Council.
3. Review of a request for a District within the city limits shall be reviewed in conjunction
with a zoning request for a Planned Unit Development District demonstrating enhanced
development standards, and consistent with applicable City codes and policies adopted
by the City Council.
4. Review of a request for a District within the within the extraterritorial jurisdiction (ETJ)
shall be reviewed in conjunction with terms for enhanced development standards and
consistency with applicable City policies adopted by the City Council.
D. Board or Commission Review.
The Planning and Zoning Commission or other appropriate board or commission, shall hold
a Public Hearing and make a recommendation to the City Council.
E. City Council Final Action.
1. The City Council shall hold a Public Hearing and render a final decision on the request
for a District.
2. All outstanding application, staff, and legal fees shall be paid in full to the City prior to
the approval of a District.
Sec. 3.26.030. - Approval Criteria.
The City Council shall consider the following approval criteria when reviewing a request for the
creation of a District:
A. The request is consistent with Section 13.10.010, Municipal Utility District (MUD), Water
Control and Improvement District (WCID) or Fresh Water Supply District (FWSD), of this
Code;
B. The request is consistent with all applicable City policies as adopted by the City Council; and
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Special Purpose Districts (i.e. MUDs) EXHIBITA
UDC Amendment No. 8 Printed on Nov. 28, 18
C. The request supports the following objectives:
1. Quality Dertelognrent. The development meets or exceeds the intent of the development
and design standards of city codes;
2. ExtraordinarV BenCdts. The development provides extraordinary public benefits that
advance the vision and goals of the Comprehensive Plan, such as, but not limited to,
extension, financial contribution, or enhancement of master planned infrastructure,
diversity of housing, and enhanced parks and open space that are available to the public;
3. Enhance Public Service and Sa et . The development enhances public services and optimizes
service delivery through its design, dedication of sites, connectivity, and other features;
4. City -Exclusive Provider. The development further promotes the City as the exclusive
provider of water, wastewater, solid waste, and electric utilities;
5. Fiscally Res onsible. The development is financially feasible and doesn't impair the City's
ability to provide municipal services;
6. Finance Plan. The developer(s) contribute financially to cover a portion of infrastructure
expenses without reimbursement by the Districts or the City; and
7. An►iexation. When applicable, the development will not impair the City's future
annexation of the Districts or adjacent property, or impose costs not mutually agreed
upon.
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Special Purpose Districts (i.e. MUDs) EXHIBIT
UDC Amendment No. 8 Printed on Nov. 29, 18
Note: Section 13.10, Creation of Special Districts, is being revised in its entirety and replaced with a new
Section 13.10, Creation of Special Purpose Districts.
SECTION 13.10. - CREATION OF SPECIAL PURPOSE DISTRICTS
Sec. 13.10.010. - Municipal Utility District (MUD), Water Control and Improvement District
(WCID) or Fresh Water Supply District (FWSD)
A. Purpose.
To provide for the prudent use of a Municipal Utility District ("MUD"), Water Control and
Improvement District ("WCID"), Fresh Water Supply District ("FWSD"), or similar political
subdivision created pursuant to Article III, Section 52, and/or Article XVI, Section 59, of the Texas
Constitution and that are authorized by law to provide water, wastewater, stormwater, and other
services ("Districts"), in order to allow development within the City's corporate boundaries and
extraterritorial jurisdiction that is generally consistent with the City's Comprehensive Plan.
The standards established in this Section are intended to carry out the following purposes:
• Encourage quality development;
• Protect the water quality within all watersheds of the City;
• Protect the water quality of the City's drinking water sources;
• Allow the City to enforce land use and development regulations consistent with the City's
comprehensive plan;
• Promote enhanced parks, trails, and recreational amenities for the enjoyment of public.
• Provide for construction of infrastructure consistent with City standards and City
inspection of such infrastructure;
• Provide notice to residents of the District that the City may annex the District at some
future time;
• Facilitate cost-effective construction of infrastructure to serve the area within the District,
including police and fire stations, that is consistent with City standards and plans, so that
the potential financial burden on the citizens of Georgetown will be reduced, in the event
of annexation of such land by the City;
• Provide for extension of water and wastewater lines that will serve future growth in the
City and its extraterritorial jurisdiction consistent with the City's regional utility planning;
• Establish guidelines for reasonable conditions to be placed on;
■ Issuance of bonds by the District;
• The City's consent to creation of the District, including conditions consistent with the
City's water and wastewater bond ordinances regarding creation of Districts that might
otherwise detrimentally compete with the City's utility systems;
• Establish guidelines for other mutually beneficial agreements by the City and the District;
• Provide a procedural framework for responding to an application seeking the City's
consent to the creation of a District; and
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Special Purpose Districts (i.e. MUDs) EXHIBIT A
UDC Amendment No. 8 Printed on Nov. 29, 18
■ Assist in closing the financial gap when a unique development is seeking to exceed
minimum standards, provide a robust program of amenities, and where substantial off-
site infrastructure improvements are required that would serve the proposed District
and surrounding properties.
B. Applicability.
This Section is to be equitably applied to the creation of, inclusion of land within, and operation
of all proposed Districts, while allowing flexibility necessary to address unique factors that may
arise with respect to each proposed District.
Prior to considering whether to consent to or support the creation of a District, the City will
consider whether the City is able to provide water and/or wastewater service to the area proposed
to be included in the District.
C. Conditions to City's Consent to Creation of a District.
If the City Council elects to consent to the creation of or inclusion of land within a District, then
it shall impose the following requirements as conditions of the City's consent, and such
requirements shall be stipulated in the consent resolution and/or other ancillary agreement,
unless the City Council determines that requirements are not appropriate with regard to a specific
District.
1. All parks, trails, recreation amenities, water, wastewater, drainage, and road
infrastructure and facilities as well as any other infrastructure or facilities to be
reimbursed or paid for by the issuance of District bonds, shall be designed and
constructed to City standards, including without limitation fire flow standards and
utility and road design, construction and installation standards, in accordance with plans
and specifications that have been approved by the City. In the event of a conflict between
City water and wastewater standards and standards imposed by the Certificate of
Convenience and Necessity (CCN) holder for the proposed District, City standards shall
prevail, unless otherwise agreed by the City.
2. The City shall be the exclusive provider of water, wastewater, and electric utilities where
it is located within the City's single or municipal certificated service area. Further, the
District or applicant shall agree that the City is the exclusive provider of solid waste when
in the city.
3. The City shall have the right to inspect all facilities being constructed by or on behalf of
the District and to charge inspection fees consistent with the City's inspection fee
schedule, as amended from time to time.
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Special Purpose Districts (i.e. MUDs) EXHIBIT A
UDC Amendment No. 8 Printed on Nov. 29, 18
4. Bonds, including refunding bonds issued by the District, shall, unless otherwise agreed
to by the City, comply with the following requirements, provided such requirements do
not generally render the bonds unmarketable:
a. Interest rate that does not exceed two percent (2%) above the highest average interest
rate reported by the Daily Bond Buyer in its weekly "20 Bond Index" during the one
month period preceding the date notice of the sale of such bonds is given;
b. The bonds shall expressly provide that the District shall reserve the right to redeem
bonds at any time subsequent to the tenth (10th) anniversary of the date of issuance,
without premium. No variable rate bonds shall be issued by a District without City
Council approval; and
c. Any refunding bonds of the District must provide for a minimum of three percent
(3%) present value savings and that the latest maturity of the refunding bonds may
not extend beyond the latest maturity of the refunded bonds unless approved by the
City Council.
5. The City shall require the following information with respect to bond issuance:
a. At least 60 days before issuance of bonds, except refunding bonds, the District's
financial advisor shall certify in writing that the bonds are being issued within the
existing water, wastewater, or drainage facilities in the county in which the District
is located and shall deliver the certification to the City Secretary, and the City.
b. At least 60 days before the issuance of bonds, the District shall deliver to the City
Secretary, and the City Manager notice as to:
L The amount of bonds being proposed for issuance;
ii. The projects to be funded by such bonds; and
iii. The proposed debt service tax rate after issuance of the bonds.
iv. If the District is not required to obtain TCEQ approval of the issuance of the
bonds (other than refunding bonds), the District shall deliver such notice to the
City Secretary, and the City Manager at least 60 days prior to issuing such
bonds. Within 30 days after the District closes the sale of a series of bonds, the
District shall deliver to the City Secretary and the City Manager a copy of the
final official statement for such series of bonds. If the City requests additional
information regarding such issuance of bonds, the District shall promptly
provide such information at no cost to City.
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Special Purpose Districts (i.e. MUDs)
UDC Amendment No. 8
EXHIBIT A
Printed on Nov. 29, 18
6. The purposes for which a District may issue bonds shall be restricted to the construction,
acquisition, repair, extension and improvement of land, easements, works,
improvements, facilities, plants, equipment, and appliances necessary to:
a. Provide a water supply for the District for municipal uses, domestic uses, and
commercial purposes;
b. Collect, transport, process, dispose of and control all domestic, industrial or
communal wastes from the District whether in fluid, solid, or composite state;
c. Gather, conduct, divert, and control local stormwater or other local harmful excesses
of water in the District; and
d. Pay organization and administrative expenses, operation expenses during
construction, cost of issuance, interest during construction, and capitalized interest.
e. If appropriate in a particular District, the City may consent to issuance of bonds for
construction, acquisition, repair, extension, or improvement of fire stations, roads,
parks, trails, recreational amenities, and/or other capital improvements that are
mutually agreed upon by the City Council and the applicant.
7. The District shall contain sufficient acreage to assure the economic viability of the District
but no more acreage than can feasibly be annexed at one time.
8. Development within the District shall be consistent with the City's Comprehensive Plan.
9. No District shall include land in more than one city's Extraterritorial Jurisdiction.
10. The City and the owners of all land in the proposed District shall reach agreement on the
terms of a development agreement pursuant to Texas Local Government Code §§ 212.171,
et seq. to extend the City's planning authority over land included in the District by
providing for approval of a development plan, authorizing enforcement by the City of
land use and development regulations, and including other lawful terms and
considerations the parties consider appropriate. The development agreement shall
include provisions relating to the following matters:
a. Land use plan reflecting all approved land uses and residential densities;
b. Compliance with City construction Codes, including permit requirements;
c. Compliance with City and other applicable stormwater and water quality
regulations;
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Special Purpose Districts (i.e. MUDs)
UDC Amendment No. 8
EXHIBIT A
Printed on Nov. 29, 18
d. Development standards comparable to City zoning regulations; and
e. Dedication and development of park land, open space, and trails.
f. The above list is not intended to be exhaustive. It is expected that the parties will
cooperate to identify those matters unique to the District that may be addressed in
a consent or development agreement.
11. At least 60 days before issuance of bonds, the District shall certify in writing that the
District is in full compliance with the consent resolution approved by the City Council
and, to the extent such agreements impose requirements on the District, with the consent
agreement, strategic partnership agreement and all other agreements executed by the
City and the District, and shall deliver the certification to the City Secretary, and the City
Manager.
12. No land within the District shall be allowed, at any time in the future, to incorporate, join
in an incorporation, or be annexed into any incorporated city other than the City of
Georgetown.
13. No land shall be annexed by the District without prior City Council approval.
14. The District shall not construct or install infrastructure or facilities to serve areas outside
the District or sell or deliver services to areas outside the District without prior City
Council approval.
15. After creation of the District, and unless otherwise expressly authorized by the consent
agreement or development agreement, no District shall be converted into another type of
District, consolidated with another District, divided into two or more new
DistrictDistricts or seek additional governmental powers that were beyond its statutory
authority at the time the District was created, without prior City Council approval.
16. If allowed by law, the City may annex any commercial development within the District
for limited purposes pursuant to Texas Local Government Code § 43.0751, and may
impose a sales and use tax within the area annexed for limited purposes. If limited
purpose annexation is not allowed by law, then the City may not consent to inclusion of
commercial retail areas within the District. The City may consider sharing tax receipts
with the District, provided the District's share is used to finance infrastructure, retire
bond debt or for other purposes acceptable to the City.
17. The District shall not issue any bonds other than those authorized by the consent
agreement without City Council approval.
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Special Purpose Districts (i.e. MUDs)
UDC Amendment No. 8
EXHIBIT A
Printed on Nov. 29, 18
18. The District shall file a notice in the real property records of all counties in which the
District is located stating that the City has authority to annex the District. The parties may
attach a form of such notice to the consent agreement or development agreement.
19. The District shall send a copy of the order or other action setting an ad valorem tax rate
to the City Secretary, and the City Manager within 30 days after District adoption of the
rate.
20. The District shall, send a copy of its annual audit to the City Secretary, and the City
Manager within 30 days after approval.
21. The District shall maintain a debt service structure that will ensure that the District's taxes
are maintained at a rate at least equal to the City's tax rate, to the extent feasible.
22. The District shall provide copies of any material event notices filed under applicable
federal securities laws or regulations to the City Secretary, and the City Manager within
30 days after filing such notices with the applicable federal agency.
23. Construction of capital improvements or fee -in -lieu for facilities such as fire stations and
recreational amenities shall be provided.
24. Sharing of fire stations, recreational amenities, and other capital improvements by the
City and the District shall be provided. Land shall be dedicated, when deemed necessary,
to enhance public safety and optimize locations for service delivery.
25. If construction or expansion of a wastewater treatment facility is proposed to serve the
District, the plant design shall conform to all applicable state and federal permitting and
design standards. In addition, any wastewater discharge shall be permitted to meet
effluent limitations no less stringent than 5-5-2-1 (five parts per million ("ppm")
biochemical oxygen demand; five ppm total suspended solids; two ppm nitrogen; and
one ppm phosphorus) or the current limits in permit(s) held by the City, whichever is
strictest. The City reserves the right to protest any wastewater treatment facility permit
application or amendment.
26. The board of directors of the District and landowners within the District shall assist the
City in annexing one or more areas as reasonably necessary for the City to connect areas
to the City that are outside the District and that the City intends to annex in the
foreseeable future.
27. Upon the recommendation of the Development Engineer or designee the City may
require the District to complete a traffic impact analysis pursuant to Section 12.09 of this
Code.
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Special Purpose Districts (i.e. MUDs)
UDC Amendment No. 8
EXHIBIT A
Printed on Nov. 29, 18
28. The City may agree not to annex and dissolve the District any earlier than the first to
occur of: (i) extension of water, wastewater, and drainage facilities to serve ninety percent
(90%) of the land within the District; or (ii) 15 years after creation of the District. The
contract between the City and the District may provide that the City may set rates for
water and/or wastewater services for property that was within the District that vary from
those for other properties within the City in order to compensate the City for assumption
of District obligations upon annexation, in compliance with any statutory requirements
applicable to such an agreement.
29. The consent agreement and ancillary documents shall include terms providing for the
District to be fully developed and ready for full purpose annexation by the City within a
reasonable time period.
30. The applicant shall reimburse the City for expenses incurred by the City in connection
with the City's consent to formation of the District, including but not limited to
professional fees incurred in connection with negotiation and preparation of the consent
resolution, consent agreement, development agreement, strategic partnership
agreement, and related documents.
D. City Operations Compensation Fee.
A fee shall be assessed for each residential unit within the District equal to the proportion of City
operations attributed to serving residents of an ETJ District. The fee shall be calculated as outlined
in the Municipal Utility District (MUD) Policy.
Sec. 13.10.020. — Public Improvement District (PID) — Reserved.
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Special Purpose Districts (i.e. MUDs) EXHIBIT
UDC Amendment No. 8 Printed on Nov. 28, 18
SECTION 16.02. - DEFINITIONS
The following definitions describe terms found in this Code.
Debt Instrument. An instrumenL including a bond nate certificate of pgrticipatjoll or other
instrument evidencing a proportionate interest in payments due to be paid by an issuer or other
ty pe of obii gation that: L1 I is issued or incurred by an issuer under the issuer's borrowing ower:
without re and to whether it is sub'ect to annual appropriation; and 2 is represented by an
instrument issued in bearer or registered Form or is not represented by an instrument but the
transfer of which is registered on books maintained for the t purpose by or on behalf of the issuer.
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