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Council updates latecomers reimbursement period to match state law
Summary
Ordinance 1702 was adopted to amend LMC sections on latecomer agreements, changing the reimbursement period language in the code from 15 to 20 years to align with RCW 35.91; staff said eight active agreements already use 20 years.
The Lacy City Council voted unanimously on June 16 to adopt Ordinance 1702, aligning the city's latecomers agreement language with state law that provides a 20-year reimbursement period.
Joey Eder, engineering development review manager, explained that current Lacy Municipal Code sections 13.52.030 and 13.52.050 incorrectly stated a 15-year reimbursement period while RCW 35.91 and the city's development guidelines and public works standards use 20 years. Staff said the discrepancy is a housekeeping item to ensure the code matches state law and the city's practices.
Eder described how latecomers agreements work: a developer or property owner pays for utility improvements and records an agreement; subsequent property owners who connect to or benefit from those improvements reimburse a proportional share (including interest as specified in the agreement). Staff said the city collects those fees when connection fees are paid and releases funds after administrative clearance.
Council asked clarifying questions about interest tables, how the reimbursements are disbursed and whether the agreements run with the land; staff said reimbursement typically runs with the agreement to the original developer and that letters are sent to neighboring property owners when an agreement is recorded so property owners may pay in advance to avoid interest accrual. The ordinance was adopted without recorded opposition.
