Adopt Resolution #21-328 Adopting Special Assessment Rebate (Formerly Lessor of Special Assessment or Franchise Fee)

Per Section 1(n) of the Franchise Fee Ordinances that were adopted on July 28, 2020:

Rebate Program.  The City will rebate the lesser annual amount paid for franchise fees versus special assessments (those assessed beginning year 2015) over the remaining term of the special assessments, regardless if the assessment was pre-paid or is currently being paid through property taxes.  Rebates will be in the form of a check to qualifying property addresses who have submitted an annual rebate application form.  This rebate program applies strictly to qualifying property addresses during the effective term of their current assessment or this Ordinance, whichever expires first.  If a qualifying property is sold during the effective term of their current assessment, the rebate program is no longer eligible for that respective property. 

With the termination of the franchise fee, effective, December 31, 2021, the rebate program, as documented above, officially ends.  (The 2021 rebate which is the lessor of the annual special assessment or the annual franchise fee follows the franchise fee ordinance and qualifying properties will receive an application to submit for the rebate in January 2022).  

At the City Council worksession of November 9, 2021 the consensus at the meeting was to continue with the rebate program beginning with year 2022.

The rebate program will follow the same guidelines as were outlined in the franchise fee ordinance:  Need to be a qualifying property - meaning the property has not changed ownership since the date of the original assessment, need to apply for the rebate (City provides the applicable rebate form to eligible properties), and the rebate will apply to the same term as the assessment (through 2025 for those pavement projects constructed in 2015) or the City Council opts to cancel the rebate program, whichever is earlier.

To determine the amount of rebate:

The eligible rebate will be limited to the lessor of the annual special assessment or 25% of the annual assessment if the annual assessment exceeded the annual franchise fee paid in 2021.
            Example:
                  Qualifying Property Annual Special Assessment:                           $663.64
                  Qualifying Property Annual Franchise Fee Paid in 2021:  $168.00 ($7/per month on gas & $7/per month on electric)
   
                  Eligible amount to be rebated:  $165.91 (25% of annual special assessment as annual special assessment exceeded annual franchise fee)  


 



 

In late January 2022, a rebate application will be mailed to all qualifying properties to apply for the 2021 rebate (lessor of 2021 franchise fee paid or annual special assessment).  Correspondence will be included to outline future rebate program.

Consensus of City Council at November 9 worksession was to extend the rebate program as outlined.

Implement rebate program as outlined.

Motion to adopt Resolution #21-328 Adopting Special Assessment Rebate