Reimbursement agreements, also referred to as latecomers agreements, allow a property owner who has installed mainline extensions for City water and/or sewer to recover a portion of the costs of those improvements from other property owners who later develop property in the vicinity and use the improvements. In order to be eligible for a reimbursement agreement, the estimated cost of the proposed improvement must not be less than five thousand dollars. The reimbursement agreement shall be in effect for twenty years from the effective date of the agreement.

If the owner elects to enter into an agreement with the City, this agreement must be approved and recorded prior to the start of construction per YMC Chapter 7.67.

Reimbursement Agreement for Utility Improvements Application
Reimbursement Agreement Template

Application and reimbursement agreement must be submitted with the following:

1. A non-refundable application fee of $750 plus other City expenses as identified in YMC 7.67.100(B).
2. Preliminary utility design drawing.
3. Itemized/Quantified estimate of construction costs, prepared and signed by a licensed
   civil engineer or a bid submitted by a qualified contractor.
4. Vicinity scaled drawing on 8-1/2 x 11-inch paper, stamped by a licensed civil
   engineer or licensed land surveyor showing the utility size, location, and proposed
   contract areas including tax parcel, size of parcel, useful elevations as necessary for
   determining benefit, all existing utility services and appurtenances.
5. A separate legal description for each tax parcel within the benefited area.
6. Any other information as may be requested by the City.

Reimbursement Agreement Process:

1. Submit the application, the $750 application fee, and the proposed reimbursement agreement (signed and notarized) along with the required attachments to the Engineering Counter. The Engineering permit application must be submitted before or at the time of this request;
2. The Development Engineer will review the request for compliance with the Yakima Municipal Code;
3. Once approved, the Development Engineer will obtain the City Attorney and City Manager’s signatures;
4. The Development Engineer shall provide the signed agreement to the applicant and the applicant shall record agreement at the County Auditor’s Office (128 N 2nd St, Yakima, WA 98901). The applicant is responsible for all recording costs. See County Auditor recording requirements; and
5. Applicant shall submit proof of recording to the Development Engineer.

When a property in the benefitted area applies to connect to the water and/or sewer that was constructed via this project, the City will collect the reimbursement fee in accordance with the approved schedule contained in the agreement. Per YMC 7.67.120, upon receipt of any reimbursement fees, the City shall deduct a six percent administrative fee and remit the balance of the reimbursement fees to the party entitled to the fees pursuant to the agreement.