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(1) Criteria for Deferral. Subject to the criteria and standards set forth in this section, the improvement of existing streets, alleys, or unimproved rights-of-way may be deferred by the Public Works Director or designee to such time as a complete street segment can be improved to City standards. For purposes of this section, a street segment shall be considered as the length of a street between street intersections on the same side of the street as the project site. Street improvements may only be deferred when the project site complies with the following criteria:

(a) Commercial, Industrial, and Residential street improvements may be deferred if:

(i) More than 50% of the block between street (not including alley) intersections on which the project site fronts is unimproved (street improvements required within subdivisions and Planned Unit Developments shall not be deferred); or,

(ii) There are site conditions confirmed by the City Engineer that justify the deferral.

(b) Arterial and Collector street improvements shall not be deferred under this section.

(2) Financial Deposit. When street improvements are deferred, the developer shall deposit with the City of Medford a financial deposit acceptable to the City in the amount established in the most recent fee schedule approved by resolution of the City Council, in lieu of the developer constructing the street improvements. This financial deposit shall be deposited with the City prior to the recordation of the final plat for land partitions, or prior to submittal of building permit applications for other approved projects.

Said financial deposit shall be held until one of the following conditions has been met:

(a) The required street improvements have been constructed by the developer or property owner, at which time, the deposit may be returned to the developer or property owner in whole or in part; or,

(b) The required street improvements have been constructed as part of a Local Improvement District, in which case, the deposit shall be applied to the proportional share of the property owner’s obligation; or,

(c) The project site’s Local Improvement District assessment is less than the amount of the deposit required as a condition of the deferral, in which case, the difference between the two amounts shall be refunded to the developer.

(3) Construction Performed by Developer or Property Owner. If the developer or property owner elects to construct the required street improvements prior to the formation of a Local Improvement District, s/he shall be responsible for performance of the work identified in the conditions set forth in the applicable Final Order from the approving authority and for obtaining contractors therefor.

(a) The developer or property owner shall cause satisfactory plans and specifications for the improvements to be prepared, and shall submit said plans and specifications to the City Public Works Department for approval prior to commencement of the work. Such work shall be done in accordance with the City standards in effect at the time the improvement plans are submitted for approval.

The City Engineer shall review the construction documents, and notify the applicant in writing of any additional requirements for installation of street improvements. If the applicant disagrees with the requirements for installation of street improvements as provided in this section, s/he shall, within 30 days of the date the notice from the City Engineer was mailed, request a review of the requirements by the City Council. The decision of the City Council shall be binding upon both the City and the applicant.

(b) The developer or owner shall make payments required by the City, including, but not limited to, engineering deposits, permit fees and inspection fees. Prior to approval of street improvement plans by the City, the applicant may be required to execute and deliver to the City, a performance bond in an amount and form acceptable to the City, to be released by the City in whole or in part upon the City's final acceptance of the work performed. The developer or owner shall notify the City Public Works Department at least 48 hours prior to the start of construction.

(4) Construction as Local Improvement District. The financial deposit shall be applied to the property owner’s proportional share of the resulting final assessment for the subject property for a future Local Improvement District for street improvements along the property frontage or other locations for which the deposit was made. Should the subject property’s resulting assessment be less than the deposit amount required as a condition of the deferral, the difference between the two amounts shall be refunded to the party which paid the deposit. At the time the City decides to make the deferred street improvements, permission to enter onto the property of the owner is granted to the City or its contractor as may be necessary to construct such improvements.

(5) Construction Performed by City. The financial deposit shall be applied as a proportional share toward a project which completes the deferred improvements, in whole or in part, if the project is constructed with City funds or resources. If the subject property’s proportional share of the improvement project is less than the amount of the deposit, the difference shall be refunded to the party which paid the deposit.

(6) Tracking of Payments. Deposit accounts for the financial deposit shall be maintained by the City, and shall identify the developer, the property owner, the map and tax lot number of the parent parcel being developed and for which the payment is being received, and the date and amount of the payment.

(7) Existing Deferred Improvement Agreements. Deferred Improvement Agreements that were recorded prior to the date of adoption of this ordinance shall continue to be in effect, and said agreements shall continue to run with the land.

(a) If the owner of the property subject to a Deferred Improvement Agreement elects to construct the deferred improvements, s/he shall be responsible for performance of the work identified in said agreement and for obtaining contractors therefore. The property owner shall cause satisfactory plans and specifications for the improvements to be prepared, and shall submit said plans and specifications to the City Public Works Department for approval prior to commencement of the work. Such work shall be done in accordance with the City standards in effect at the time the improvement plans are submitted for approval. The City Engineer shall review the construction documents, and notify the applicant in writing of any additional requirements for installation of street improvements. If the property owner disagrees with the requirements set forth for installation of improvements as provided in this section, s/he shall, within 30 days of the date the notice from the City Engineer was mailed, request a review of the requirements by the City Council. The decision of the City Council shall be binding upon both the City and the property owner.

(b) The property owner shall make payments required by the City including, but not limited to, engineering deposits, permit fees and inspection fees. Prior to approval of improvement plans by the City, the property owner may be required to execute and deliver to the City, a performance bond in an amount and form acceptable to the City, to be released by the City in whole or in part upon the City’s final acceptance of the work performed. The property owner shall notify the City Public Works Department at least 48 hours prior to the start of work.

(c) Recordation of a Deferred Improvement Agreement shall be equivalent to a petition required under Section 29 of the Medford Charter. If the property owner does not complete the improvements under provisions (7)(a) above, the City may do the work as a local improvement project following the procedures established by ordinance for such projects and assess the costs against the property specially benefited. Permission to enter onto the property of the owner is granted to the City or its contractor as may be necessary to construct such improvements.

When the City Engineer determines that the reason(s) for the street improvement deferment no longer exist(s), s/he shall notify affected property owners in writing. The notice shall be mailed to the current owner or owners of the land as shown on the latest adopted county assessment roll. All or any portion of said improvements may be required at a specified time. Each affected owner shall participate on a proportional share basis of the cost of installation of the improvements.

[Amd. Sec. 1, Ord. No. 5955, Aug. 20, 1987; Amd. Ord. No. 6030, Dec. 3, 1987; Amd. Ord. No. 2005-274, Dec. 1, 2005; Amd. Sec. 15, Ord. No. 2013-131, Sep. 5, 2013 (effective Dec. 1, 2013); Amd. Exh. A, Ord. No. 2021-135, Nov. 4, 2021.]